Correlation Between Franklin Equity and Ab All
Can any of the company-specific risk be diversified away by investing in both Franklin Equity and Ab All 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 Franklin Equity and Ab All into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Franklin Equity Income and Ab All Market, you can compare the effects of market volatilities on Franklin Equity and Ab All 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 Franklin Equity with a short position of Ab All. Check out your portfolio center. Please also check ongoing floating volatility patterns of Franklin Equity and Ab All.
Diversification Opportunities for Franklin Equity and Ab All
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Franklin and AMTOX is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Franklin Equity Income and Ab All Market in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ab All Market and Franklin Equity 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 Franklin Equity Income are associated (or correlated) with Ab All. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ab All Market has no effect on the direction of Franklin Equity i.e., Franklin Equity and Ab All go up and down completely randomly.
Pair Corralation between Franklin Equity and Ab All
Assuming the 90 days horizon Franklin Equity Income is expected to generate 1.05 times more return on investment than Ab All. However, Franklin Equity is 1.05 times more volatile than Ab All Market. It trades about 0.31 of its potential returns per unit of risk. Ab All Market is currently generating about 0.2 per unit of risk. If you would invest 3,146 in Franklin Equity Income on May 27, 2025 and sell it today you would earn a total of 327.00 from holding Franklin Equity Income or generate 10.39% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Franklin Equity Income vs. Ab All Market
Performance |
| Timeline |
| Franklin Equity Income |
| Ab All Market |
Franklin Equity and Ab All Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Franklin Equity and Ab All
The main advantage of trading using opposite Franklin Equity and Ab All positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Franklin Equity position performs unexpectedly, Ab All 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 Ab All will offset losses from the drop in Ab All's long position.| Franklin Equity vs. John Hancock Financial | Franklin Equity vs. Fidelity Advisor Financial | Franklin Equity vs. Icon Financial Fund | Franklin Equity vs. Mesirow Financial Small |
| Ab All vs. Ab Tax Managed Wealth | Ab All vs. Rbc Emerging Markets | Ab All vs. Ep Emerging Markets | Ab All vs. Ashmore Emerging Markets |
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 Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges |