Correlation Between Cohen Steers and Intermediate Term
Can any of the company-specific risk be diversified away by investing in both Cohen Steers and Intermediate Term 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 Cohen Steers and Intermediate Term into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cohen Steers Real and Intermediate Term Tax Free Bond, you can compare the effects of market volatilities on Cohen Steers and Intermediate Term 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 Cohen Steers with a short position of Intermediate Term. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cohen Steers and Intermediate Term.
Diversification Opportunities for Cohen Steers and Intermediate Term
-0.03 | Correlation Coefficient |
Good diversification
The 3 months correlation between Cohen and Intermediate is -0.03. Overlapping area represents the amount of risk that can be diversified away by holding Cohen Steers Real and Intermediate Term Tax Free Bon in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Intermediate Term Tax and Cohen Steers 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 Cohen Steers Real are associated (or correlated) with Intermediate Term. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Intermediate Term Tax has no effect on the direction of Cohen Steers i.e., Cohen Steers and Intermediate Term go up and down completely randomly.
Pair Corralation between Cohen Steers and Intermediate Term
Assuming the 90 days horizon Cohen Steers Real is expected to generate 6.98 times more return on investment than Intermediate Term. However, Cohen Steers is 6.98 times more volatile than Intermediate Term Tax Free Bond. It trades about 0.05 of its potential returns per unit of risk. Intermediate Term Tax Free Bond is currently generating about 0.15 per unit of risk. If you would invest 1,747 in Cohen Steers Real on May 27, 2025 and sell it today you would earn a total of 41.00 from holding Cohen Steers Real or generate 2.35% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.44% |
| Values | Daily Returns |
Cohen Steers Real vs. Intermediate Term Tax Free Bon
Performance |
| Timeline |
| Cohen Steers Real |
| Intermediate Term Tax |
Cohen Steers and Intermediate Term Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cohen Steers and Intermediate Term
The main advantage of trading using opposite Cohen Steers and Intermediate Term positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cohen Steers position performs unexpectedly, Intermediate Term 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 Intermediate Term will offset losses from the drop in Intermediate Term's long position.| Cohen Steers vs. Mfs Lifetime Retirement | Cohen Steers vs. Deutsche Multi Asset Moderate | Cohen Steers vs. Trowe Price Retirement | Cohen Steers vs. Franklin Lifesmart Retirement |
| Intermediate Term vs. Valic Company I | Intermediate Term vs. Omni Small Cap Value | Intermediate Term vs. Lsv Small Cap | Intermediate Term vs. Applied Finance Explorer |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes |