Correlation Between Cambiar Small and Channing Intrinsic
Can any of the company-specific risk be diversified away by investing in both Cambiar Small and Channing Intrinsic 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 Cambiar Small and Channing Intrinsic into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cambiar Small Cap and Channing Intrinsic Value, you can compare the effects of market volatilities on Cambiar Small and Channing Intrinsic 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 Cambiar Small with a short position of Channing Intrinsic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cambiar Small and Channing Intrinsic.
Diversification Opportunities for Cambiar Small and Channing Intrinsic
0.69 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Cambiar and Channing is 0.69. Overlapping area represents the amount of risk that can be diversified away by holding Cambiar Small Cap and Channing Intrinsic Value in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Channing Intrinsic Value and Cambiar Small 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 Cambiar Small Cap are associated (or correlated) with Channing Intrinsic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Channing Intrinsic Value has no effect on the direction of Cambiar Small i.e., Cambiar Small and Channing Intrinsic go up and down completely randomly.
Pair Corralation between Cambiar Small and Channing Intrinsic
Assuming the 90 days horizon Cambiar Small is expected to generate 1.57 times less return on investment than Channing Intrinsic. But when comparing it to its historical volatility, Cambiar Small Cap is 1.19 times less risky than Channing Intrinsic. It trades about 0.16 of its potential returns per unit of risk. Channing Intrinsic Value is currently generating about 0.21 of returns per unit of risk over similar time horizon. If you would invest 1,002 in Channing Intrinsic Value on June 13, 2025 and sell it today you would earn a total of 150.00 from holding Channing Intrinsic Value or generate 14.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Cambiar Small Cap vs. Channing Intrinsic Value
Performance |
| Timeline |
| Cambiar Small Cap |
| Channing Intrinsic Value |
Cambiar Small and Channing Intrinsic Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cambiar Small and Channing Intrinsic
The main advantage of trading using opposite Cambiar Small and Channing Intrinsic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cambiar Small position performs unexpectedly, Channing Intrinsic 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 Channing Intrinsic will offset losses from the drop in Channing Intrinsic's long position.| Cambiar Small vs. Jpmorgan Dynamic Small | Cambiar Small vs. Cambiar Opportunity Fund | Cambiar Small vs. Virtus Emerging Markets | Cambiar Small vs. Cambiar International Equity |
| Channing Intrinsic vs. Fidelity Small Cap | Channing Intrinsic vs. Goldman Sachs Small | Channing Intrinsic vs. Ultrasmall Cap Profund Ultrasmall Cap | Channing Intrinsic vs. Small Cap Value Fund |
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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
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