Correlation Between Calvert Global and Global Multi-strategy
Can any of the company-specific risk be diversified away by investing in both Calvert Global and Global Multi-strategy 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 Calvert Global and Global Multi-strategy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calvert Global Energy and Global Multi Strategy Fund, you can compare the effects of market volatilities on Calvert Global and Global Multi-strategy 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 Calvert Global with a short position of Global Multi-strategy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calvert Global and Global Multi-strategy.
Diversification Opportunities for Calvert Global and Global Multi-strategy
0.68 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Calvert and Global is 0.68. Overlapping area represents the amount of risk that can be diversified away by holding Calvert Global Energy and Global Multi Strategy Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Global Multi Strategy and Calvert Global 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 Calvert Global Energy are associated (or correlated) with Global Multi-strategy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Global Multi Strategy has no effect on the direction of Calvert Global i.e., Calvert Global and Global Multi-strategy go up and down completely randomly.
Pair Corralation between Calvert Global and Global Multi-strategy
Assuming the 90 days horizon Calvert Global Energy is expected to generate 4.17 times more return on investment than Global Multi-strategy. However, Calvert Global is 4.17 times more volatile than Global Multi Strategy Fund. It trades about 0.22 of its potential returns per unit of risk. Global Multi Strategy Fund is currently generating about 0.29 per unit of risk. If you would invest 1,169 in Calvert Global Energy on June 4, 2025 and sell it today you would earn a total of 145.00 from holding Calvert Global Energy or generate 12.4% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calvert Global Energy vs. Global Multi Strategy Fund
Performance |
| Timeline |
| Calvert Global Energy |
| Global Multi Strategy |
Calvert Global and Global Multi-strategy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calvert Global and Global Multi-strategy
The main advantage of trading using opposite Calvert Global and Global Multi-strategy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calvert Global position performs unexpectedly, Global Multi-strategy 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 Global Multi-strategy will offset losses from the drop in Global Multi-strategy's long position.| Calvert Global vs. Fidelity Advisor Technology | Calvert Global vs. Janus Global Technology | Calvert Global vs. Red Oak Technology | Calvert Global vs. Allianzgi Technology Fund |
| Global Multi-strategy vs. Franklin Government Money | Global Multi-strategy vs. Prudential Government Money | Global Multi-strategy vs. Matson Money International | Global Multi-strategy vs. Profunds Money |
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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
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