Correlation Between Virtus Convertible and Calamos International
Can any of the company-specific risk be diversified away by investing in both Virtus Convertible and Calamos International at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Virtus Convertible and Calamos International into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Virtus Convertible and Calamos International Small, you can compare the effects of market volatilities on Virtus Convertible and Calamos International and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Virtus Convertible with a short position of Calamos International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Virtus Convertible and Calamos International.
Diversification Opportunities for Virtus Convertible and Calamos International
-0.56 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Virtus and Calamos is -0.56. Overlapping area represents the amount of risk that can be diversified away by holding Virtus Convertible and Calamos International Small in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos International and Virtus Convertible is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Virtus Convertible are associated (or correlated) with Calamos International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos International has no effect on the direction of Virtus Convertible i.e., Virtus Convertible and Calamos International go up and down completely randomly.
Pair Corralation between Virtus Convertible and Calamos International
Assuming the 90 days horizon Virtus Convertible is expected to generate 0.79 times more return on investment than Calamos International. However, Virtus Convertible is 1.26 times less risky than Calamos International. It trades about 0.34 of its potential returns per unit of risk. Calamos International Small is currently generating about 0.09 per unit of risk. If you would invest 3,549 in Virtus Convertible on September 15, 2024 and sell it today you would earn a total of 151.00 from holding Virtus Convertible or generate 4.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Virtus Convertible vs. Calamos International Small
Performance |
| Timeline |
| Virtus Convertible |
| Calamos International |
Virtus Convertible and Calamos International Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Virtus Convertible and Calamos International
The main advantage of trading using opposite Virtus Convertible and Calamos International positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Virtus Convertible position performs unexpectedly, Calamos International can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Calamos International will offset losses from the drop in Calamos International's long position.| Virtus Convertible vs. California Bond Fund | Virtus Convertible vs. Doubleline Yield Opportunities | Virtus Convertible vs. Bbh Intermediate Municipal | Virtus Convertible vs. Artisan High Income |
| Calamos International vs. Guggenheim Risk Managed | Calamos International vs. Deutsche Real Estate | Calamos International vs. Fidelity Real Estate | Calamos International vs. Redwood Real Estate |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |