Correlation Between Janus Henderson and Equity Income

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Can any of the company-specific risk be diversified away by investing in both Janus Henderson and Equity Income 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 Janus Henderson and Equity Income into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Janus Henderson Global and Equity Income Fund, you can compare the effects of market volatilities on Janus Henderson and Equity Income 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 Janus Henderson with a short position of Equity Income. Check out your portfolio center. Please also check ongoing floating volatility patterns of Janus Henderson and Equity Income.

Diversification Opportunities for Janus Henderson and Equity Income

0.0
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between Janus and Equity is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Janus Henderson Global and Equity Income Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Equity Income and Janus Henderson 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 Janus Henderson Global are associated (or correlated) with Equity Income. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Equity Income has no effect on the direction of Janus Henderson i.e., Janus Henderson and Equity Income go up and down completely randomly.

Pair Corralation between Janus Henderson and Equity Income

If you would invest  901.00  in Equity Income Fund on August 28, 2025 and sell it today you would earn a total of  9.00  from holding Equity Income Fund or generate 1.0% return on investment over 90 days.
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy1.59%
ValuesDaily Returns

Janus Henderson Global  vs.  Equity Income Fund

 Performance 
       Timeline  
Janus Henderson Global 

Risk-Adjusted Performance

Weak

 
Weak
 
Strong
Over the last 90 days Janus Henderson Global has generated negative risk-adjusted returns adding no value to fund investors. In spite of fairly strong basic indicators, Janus Henderson is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.
Equity Income 

Risk-Adjusted Performance

Weak

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Equity Income Fund are ranked lower than 2 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong forward indicators, Equity Income is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Janus Henderson and Equity Income Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Janus Henderson and Equity Income

The main advantage of trading using opposite Janus Henderson and Equity Income positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Janus Henderson position performs unexpectedly, Equity Income 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 Equity Income will offset losses from the drop in Equity Income's long position.
The idea behind Janus Henderson Global and Equity Income Fund pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
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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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.

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