Correlation Between Bondbloxx ETF and Thrivent High
Can any of the company-specific risk be diversified away by investing in both Bondbloxx ETF and Thrivent High 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 Bondbloxx ETF and Thrivent High into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bondbloxx ETF Trust and Thrivent High Yield, you can compare the effects of market volatilities on Bondbloxx ETF and Thrivent High 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 Bondbloxx ETF with a short position of Thrivent High. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bondbloxx ETF and Thrivent High.
Diversification Opportunities for Bondbloxx ETF and Thrivent High
0.3 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Bondbloxx and Thrivent is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Bondbloxx ETF Trust and Thrivent High Yield in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Thrivent High Yield and Bondbloxx ETF 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 Bondbloxx ETF Trust are associated (or correlated) with Thrivent High. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Thrivent High Yield has no effect on the direction of Bondbloxx ETF i.e., Bondbloxx ETF and Thrivent High go up and down completely randomly.
Pair Corralation between Bondbloxx ETF and Thrivent High
Given the investment horizon of 90 days Bondbloxx ETF Trust is expected to under-perform the Thrivent High. But the etf apears to be less risky and, when comparing its historical volatility, Bondbloxx ETF Trust is 1.52 times less risky than Thrivent High. The etf trades about -0.07 of its potential returns per unit of risk. The Thrivent High Yield is currently generating about 0.24 of returns per unit of risk over similar time horizon. If you would invest 422.00 in Thrivent High Yield on August 24, 2024 and sell it today you would earn a total of 3.00 from holding Thrivent High Yield or generate 0.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bondbloxx ETF Trust vs. Thrivent High Yield
Performance |
| Timeline |
| Bondbloxx ETF Trust |
| Thrivent High Yield |
Bondbloxx ETF and Thrivent High Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bondbloxx ETF and Thrivent High
The main advantage of trading using opposite Bondbloxx ETF and Thrivent High positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bondbloxx ETF position performs unexpectedly, Thrivent High 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 Thrivent High will offset losses from the drop in Thrivent High's long position.| Bondbloxx ETF vs. Bondbloxx ETF Trust | Bondbloxx ETF vs. Bondbloxx ETF Trust | Bondbloxx ETF vs. Bondbloxx ETF Trust | Bondbloxx ETF vs. Bondbloxx ETF Trust |
| Thrivent High vs. Thrivent Limited Maturity | Thrivent High vs. Thrivent Income Fund | Thrivent High vs. Thrivent Large Cap | Thrivent High vs. Thrivent Large Cap |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account |