Correlation Between Eagle Mid and Tweedy Browne
Can any of the company-specific risk be diversified away by investing in both Eagle Mid and Tweedy Browne 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 Eagle Mid and Tweedy Browne into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eagle Mid Cap and Tweedy Browne Global, you can compare the effects of market volatilities on Eagle Mid and Tweedy Browne 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 Eagle Mid with a short position of Tweedy Browne. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eagle Mid and Tweedy Browne.
Diversification Opportunities for Eagle Mid and Tweedy Browne
-0.04 | Correlation Coefficient |
Good diversification
The 3 months correlation between Eagle and Tweedy is -0.04. Overlapping area represents the amount of risk that can be diversified away by holding Eagle Mid Cap and Tweedy Browne Global in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Tweedy Browne Global and Eagle Mid 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 Eagle Mid Cap are associated (or correlated) with Tweedy Browne. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Tweedy Browne Global has no effect on the direction of Eagle Mid i.e., Eagle Mid and Tweedy Browne go up and down completely randomly.
Pair Corralation between Eagle Mid and Tweedy Browne
Assuming the 90 days horizon Eagle Mid Cap is expected to under-perform the Tweedy Browne. But the mutual fund apears to be less risky and, when comparing its historical volatility, Eagle Mid Cap is 1.54 times less risky than Tweedy Browne. The mutual fund trades about -0.04 of its potential returns per unit of risk. The Tweedy Browne Global is currently generating about 0.16 of returns per unit of risk over similar time horizon. If you would invest 2,458 in Tweedy Browne Global on October 8, 2025 and sell it today you would earn a total of 389.00 from holding Tweedy Browne Global or generate 15.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Eagle Mid Cap vs. Tweedy Browne Global
Performance |
| Timeline |
| Eagle Mid Cap |
| Tweedy Browne Global |
Eagle Mid and Tweedy Browne Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eagle Mid and Tweedy Browne
The main advantage of trading using opposite Eagle Mid and Tweedy Browne positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eagle Mid position performs unexpectedly, Tweedy Browne 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 Tweedy Browne will offset losses from the drop in Tweedy Browne's long position.| Eagle Mid vs. T Rowe Price | Eagle Mid vs. The Hartford Midcap | Eagle Mid vs. Clearbridge Aggressive Growth | Eagle Mid vs. Blackrock Advantage Small |
| Tweedy Browne vs. Smead Value Fund | Tweedy Browne vs. Blackrock Advantage Small | Tweedy Browne vs. Spectrum Growth Fund | Tweedy Browne vs. T Rowe Price |
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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
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