Correlation Between Gabelli Gold and Investment Managers
Can any of the company-specific risk be diversified away by investing in both Gabelli Gold and Investment Managers 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 Gabelli Gold and Investment Managers into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gabelli Gold Fund and Investment Managers Series, you can compare the effects of market volatilities on Gabelli Gold and Investment Managers 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 Gabelli Gold with a short position of Investment Managers. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gabelli Gold and Investment Managers.
Diversification Opportunities for Gabelli Gold and Investment Managers
0.84 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Gabelli and Investment is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding Gabelli Gold Fund and Investment Managers Series in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Investment Managers and Gabelli Gold 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 Gabelli Gold Fund are associated (or correlated) with Investment Managers. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Investment Managers has no effect on the direction of Gabelli Gold i.e., Gabelli Gold and Investment Managers go up and down completely randomly.
Pair Corralation between Gabelli Gold and Investment Managers
Assuming the 90 days horizon Gabelli Gold is expected to generate 1.2 times less return on investment than Investment Managers. In addition to that, Gabelli Gold is 1.06 times more volatile than Investment Managers Series. It trades about 0.15 of its total potential returns per unit of risk. Investment Managers Series is currently generating about 0.19 per unit of volatility. If you would invest 1,297 in Investment Managers Series on May 28, 2025 and sell it today you would earn a total of 253.00 from holding Investment Managers Series or generate 19.51% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gabelli Gold Fund vs. Investment Managers Series
Performance |
| Timeline |
| Gabelli Gold |
| Investment Managers |
Gabelli Gold and Investment Managers Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gabelli Gold and Investment Managers
The main advantage of trading using opposite Gabelli Gold and Investment Managers positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gabelli Gold position performs unexpectedly, Investment Managers 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 Investment Managers will offset losses from the drop in Investment Managers' long position.| Gabelli Gold vs. 1919 Financial Services | Gabelli Gold vs. Mesirow Financial Small | Gabelli Gold vs. Angel Oak Financial | Gabelli Gold vs. Financial Industries Fund |
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.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |