Correlation Between Mid Cap and Calamos Dynamic
Can any of the company-specific risk be diversified away by investing in both Mid Cap and Calamos Dynamic 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 Mid Cap and Calamos Dynamic into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mid Cap Strategic and Calamos Dynamic Convertible, you can compare the effects of market volatilities on Mid Cap and Calamos Dynamic 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 Mid Cap with a short position of Calamos Dynamic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mid Cap and Calamos Dynamic.
Diversification Opportunities for Mid Cap and Calamos Dynamic
0.13 | Correlation Coefficient |
Average diversification
The 3 months correlation between Mid and Calamos is 0.13. Overlapping area represents the amount of risk that can be diversified away by holding Mid Cap Strategic and Calamos Dynamic Convertible in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos Dynamic Conv and Mid Cap 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 Mid Cap Strategic are associated (or correlated) with Calamos Dynamic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos Dynamic Conv has no effect on the direction of Mid Cap i.e., Mid Cap and Calamos Dynamic go up and down completely randomly.
Pair Corralation between Mid Cap and Calamos Dynamic
Assuming the 90 days horizon Mid Cap Strategic is expected to under-perform the Calamos Dynamic. In addition to that, Mid Cap is 1.31 times more volatile than Calamos Dynamic Convertible. It trades about -0.08 of its total potential returns per unit of risk. Calamos Dynamic Convertible is currently generating about -0.02 per unit of volatility. If you would invest 2,321 in Calamos Dynamic Convertible on December 2, 2024 and sell it today you would lose (33.00) from holding Calamos Dynamic Convertible or give up 1.42% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Mid Cap Strategic vs. Calamos Dynamic Convertible
Performance |
Timeline |
Mid Cap Strategic |
Calamos Dynamic Conv |
Mid Cap and Calamos Dynamic Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Mid Cap and Calamos Dynamic
The main advantage of trading using opposite Mid Cap and Calamos Dynamic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mid Cap position performs unexpectedly, Calamos Dynamic 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 Dynamic will offset losses from the drop in Calamos Dynamic's long position.Mid Cap vs. T Rowe Price | Mid Cap vs. T Rowe Price | Mid Cap vs. T Rowe Price | Mid Cap vs. Ultrasmall Cap Profund Ultrasmall Cap |
Calamos Dynamic vs. Calamos Convertible Opportunities | Calamos Dynamic vs. Calamos Global Dynamic | Calamos Dynamic vs. Calamos Strategic Total | Calamos Dynamic vs. Calamos LongShort Equity |
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 CEOs Directory module to screen CEOs from public companies around the world.
Other Complementary Tools
Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
Share Portfolio Track or share privately all of your investments from the convenience of any device | |
Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |