Correlation Between Artisan Select and Doubleline Core

Can any of the company-specific risk be diversified away by investing in both Artisan Select and Doubleline Core 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 Artisan Select and Doubleline Core into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Artisan Select Equity and Doubleline Core Fixed, you can compare the effects of market volatilities on Artisan Select and Doubleline Core 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 Artisan Select with a short position of Doubleline Core. Check out your portfolio center. Please also check ongoing floating volatility patterns of Artisan Select and Doubleline Core.

Diversification Opportunities for Artisan Select and Doubleline Core

0.62

Correlation Coefficient

Artisan Select  Doubleline Core

Poor diversification

The 3 months correlation between Artisan and Doubleline is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Artisan Select Equity and Doubleline Core Fixed in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Doubleline Core Fixed and Artisan Select 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 Artisan Select Equity are associated (or correlated) with Doubleline Core. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Doubleline Core Fixed has no effect on the direction of Artisan Select i.e., Artisan Select and Doubleline Core go up and down completely randomly.

Pair Corralation between Artisan Select and Doubleline Core

Assuming the 90 days horizon Artisan Select Equity is expected to generate 3.12 times more return on investment than Doubleline Core. However, Artisan Select is 3.12 times more volatile than Doubleline Core Fixed. It trades about 0.13 of its potential returns per unit of risk. Doubleline Core Fixed is currently generating about 0.18 per unit of risk. If you would invest  1,548  in Artisan Select Equity on December 22, 2024 and sell it today you would earn a total of  99.00  from holding Artisan Select Equity or generate 6.4% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Artisan Select Equity  vs.  Doubleline Core Fixed

Artisan Select Equity

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Artisan Select Equity are ranked lower than 10 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak basic indicators, Artisan Select may actually be approaching a critical reversion point that can send shares even higher in April 2025.

Doubleline Core Fixed

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Doubleline Core Fixed are ranked lower than 14 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong technical and fundamental indicators, Doubleline Core is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Artisan Select and Doubleline Core

The main advantage of trading using opposite Artisan Select and Doubleline Core positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Artisan Select position performs unexpectedly, Doubleline Core 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 Doubleline Core will offset losses from the drop in Doubleline Core's long position.

The idea behind Artisan Select Equity and Doubleline Core Fixed pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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 Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.