Correlation Between Doubleline Emerging and Western Assets
Can any of the company-specific risk be diversified away by investing in both Doubleline Emerging and Western Assets 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 Doubleline Emerging and Western Assets into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Doubleline Emerging Markets and Western Assets Emerging, you can compare the effects of market volatilities on Doubleline Emerging and Western Assets 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 Doubleline Emerging with a short position of Western Assets. Check out your portfolio center. Please also check ongoing floating volatility patterns of Doubleline Emerging and Western Assets.
Diversification Opportunities for Doubleline Emerging and Western Assets
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between DoubleLine and Western is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Doubleline Emerging Markets and Western Assets Emerging in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Western Assets Emerging and Doubleline Emerging 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 Doubleline Emerging Markets are associated (or correlated) with Western Assets. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Western Assets Emerging has no effect on the direction of Doubleline Emerging i.e., Doubleline Emerging and Western Assets go up and down completely randomly.
Pair Corralation between Doubleline Emerging and Western Assets
If you would invest 1,055 in Western Assets Emerging on June 6, 2025 and sell it today you would earn a total of 35.00 from holding Western Assets Emerging or generate 3.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 1.64% |
| Values | Daily Returns |
Doubleline Emerging Markets vs. Western Assets Emerging
Performance |
| Timeline |
| Doubleline Emerging |
Risk-Adjusted Performance
Solid
Weak | Strong |
| Western Assets Emerging |
Doubleline Emerging and Western Assets Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Doubleline Emerging and Western Assets
The main advantage of trading using opposite Doubleline Emerging and Western Assets positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Doubleline Emerging position performs unexpectedly, Western Assets 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 Western Assets will offset losses from the drop in Western Assets' long position.| Doubleline Emerging vs. Fdzbpx | Doubleline Emerging vs. Abs Insights Emerging | Doubleline Emerging vs. Iaadx | Doubleline Emerging vs. Flkypx |
| Western Assets vs. Prudential Health Sciences | Western Assets vs. Lord Abbett Health | Western Assets vs. Delaware Healthcare Fund | Western Assets vs. Alger Health Sciences |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
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