Correlation Between Columbia Global and Astor Long/short
Can any of the company-specific risk be diversified away by investing in both Columbia Global and Astor Long/short 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 Columbia Global and Astor Long/short into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Columbia Global Technology and Astor Longshort Fund, you can compare the effects of market volatilities on Columbia Global and Astor Long/short 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 Columbia Global with a short position of Astor Long/short. Check out your portfolio center. Please also check ongoing floating volatility patterns of Columbia Global and Astor Long/short.
Diversification Opportunities for Columbia Global and Astor Long/short
0.89 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between COLUMBIA and Astor is 0.89. Overlapping area represents the amount of risk that can be diversified away by holding Columbia Global Technology and Astor Longshort Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Astor Long/short and Columbia 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 Columbia Global Technology are associated (or correlated) with Astor Long/short. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Astor Long/short has no effect on the direction of Columbia Global i.e., Columbia Global and Astor Long/short go up and down completely randomly.
Pair Corralation between Columbia Global and Astor Long/short
Assuming the 90 days horizon Columbia Global Technology is expected to generate 2.95 times more return on investment than Astor Long/short. However, Columbia Global is 2.95 times more volatile than Astor Longshort Fund. It trades about 0.14 of its potential returns per unit of risk. Astor Longshort Fund is currently generating about 0.18 per unit of risk. If you would invest 9,704 in Columbia Global Technology on July 17, 2025 and sell it today you would earn a total of 1,009 from holding Columbia Global Technology or generate 10.4% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Columbia Global Technology vs. Astor Longshort Fund
Performance |
| Timeline |
| Columbia Global Tech |
| Astor Long/short |
Columbia Global and Astor Long/short Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Columbia Global and Astor Long/short
The main advantage of trading using opposite Columbia Global and Astor Long/short positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Columbia Global position performs unexpectedly, Astor Long/short 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 Astor Long/short will offset losses from the drop in Astor Long/short's long position.| Columbia Global vs. Putnam Global Technology | Columbia Global vs. Blackrock Science Technology | Columbia Global vs. Columbia Global Technology | Columbia Global vs. Columbia Seligman Global |
| Astor Long/short vs. Great West Inflation Protected Securities | Astor Long/short vs. Cref Inflation Linked Bond | Astor Long/short vs. Aqr Managed Futures | Astor Long/short vs. Lincoln Inflation Plus |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
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