Correlation Between Westcore Plus and Segall Bryant
Can any of the company-specific risk be diversified away by investing in both Westcore Plus and Segall Bryant 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 Westcore Plus and Segall Bryant into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Westcore Plus Bond and Segall Bryant Hamill, you can compare the effects of market volatilities on Westcore Plus and Segall Bryant 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 Westcore Plus with a short position of Segall Bryant. Check out your portfolio center. Please also check ongoing floating volatility patterns of Westcore Plus and Segall Bryant.
Diversification Opportunities for Westcore Plus and Segall Bryant
0.72 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Westcore and Segall is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding Westcore Plus Bond and Segall Bryant Hamill in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Segall Bryant Hamill and Westcore Plus 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 Westcore Plus Bond are associated (or correlated) with Segall Bryant. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Segall Bryant Hamill has no effect on the direction of Westcore Plus i.e., Westcore Plus and Segall Bryant go up and down completely randomly.
Pair Corralation between Westcore Plus and Segall Bryant
Assuming the 90 days horizon Westcore Plus is expected to generate 2.38 times less return on investment than Segall Bryant. But when comparing it to its historical volatility, Westcore Plus Bond is 2.57 times less risky than Segall Bryant. It trades about 0.07 of its potential returns per unit of risk. Segall Bryant Hamill is currently generating about 0.07 of returns per unit of risk over similar time horizon. If you would invest 1,000.00 in Segall Bryant Hamill on August 26, 2024 and sell it today you would earn a total of 142.00 from holding Segall Bryant Hamill or generate 14.2% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Westcore Plus Bond vs. Segall Bryant Hamill
Performance |
| Timeline |
| Westcore Plus Bond |
| Segall Bryant Hamill |
Westcore Plus and Segall Bryant Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Westcore Plus and Segall Bryant
The main advantage of trading using opposite Westcore Plus and Segall Bryant positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Westcore Plus position performs unexpectedly, Segall Bryant 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 Segall Bryant will offset losses from the drop in Segall Bryant's long position.| Westcore Plus vs. Large Cap Fund | Westcore Plus vs. James Balanced Golden | Westcore Plus vs. Aberdeen Global High | Westcore Plus vs. Loomis Sayles Bond |
| Segall Bryant vs. Segall Bryant Hamill | Segall Bryant vs. Segall Bryant Hamill | Segall Bryant vs. Segall Bryant Hamill | Segall Bryant vs. Segall Bryant Hamill |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |