Correlation Between Federated Global and Comstock Capital
Can any of the company-specific risk be diversified away by investing in both Federated Global and Comstock Capital 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 Federated Global and Comstock Capital into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Federated Global Allocation and Comstock Capital Value, you can compare the effects of market volatilities on Federated Global and Comstock Capital 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 Federated Global with a short position of Comstock Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Federated Global and Comstock Capital.
Diversification Opportunities for Federated Global and Comstock Capital
0.97 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Federated and Comstock is 0.97. Overlapping area represents the amount of risk that can be diversified away by holding Federated Global Allocation and Comstock Capital Value in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Comstock Capital Value and Federated 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 Federated Global Allocation are associated (or correlated) with Comstock Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Comstock Capital Value has no effect on the direction of Federated Global i.e., Federated Global and Comstock Capital go up and down completely randomly.
Pair Corralation between Federated Global and Comstock Capital
Assuming the 90 days horizon Federated Global Allocation is expected to generate 2.0 times more return on investment than Comstock Capital. However, Federated Global is 2.0 times more volatile than Comstock Capital Value. It trades about 0.12 of its potential returns per unit of risk. Comstock Capital Value is currently generating about 0.15 per unit of risk. If you would invest 1,974 in Federated Global Allocation on June 7, 2025 and sell it today you would earn a total of 219.00 from holding Federated Global Allocation or generate 11.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Federated Global Allocation vs. Comstock Capital Value
Performance |
| Timeline |
| Federated Global All |
| Comstock Capital Value |
Federated Global and Comstock Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Federated Global and Comstock Capital
The main advantage of trading using opposite Federated Global and Comstock Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Federated Global position performs unexpectedly, Comstock Capital 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 Comstock Capital will offset losses from the drop in Comstock Capital's long position.| Federated Global vs. Federated Total Return | Federated Global vs. Federated Max Cap Index | Federated Global vs. Federated Kaufmann Small | Federated Global vs. Federated U S |
| Comstock Capital vs. Pace Smallmedium Value | Comstock Capital vs. Fpa Queens Road | Comstock Capital vs. Foundry Partners Fundamental | Comstock Capital vs. Perkins Small Cap |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
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