Correlation Between Eagle Mid and Carillon Chartwell

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Eagle Mid and Carillon Chartwell 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 Carillon Chartwell 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 Carillon Chartwell Small, you can compare the effects of market volatilities on Eagle Mid and Carillon Chartwell 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 Carillon Chartwell. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eagle Mid and Carillon Chartwell.

Diversification Opportunities for Eagle Mid and Carillon Chartwell

0.76
  Correlation Coefficient

Poor diversification

The 3 months correlation between Eagle and Carillon is 0.76. Overlapping area represents the amount of risk that can be diversified away by holding Eagle Mid Cap and Carillon Chartwell Small in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Carillon Chartwell Small 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 Carillon Chartwell. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Carillon Chartwell Small has no effect on the direction of Eagle Mid i.e., Eagle Mid and Carillon Chartwell go up and down completely randomly.

Pair Corralation between Eagle Mid and Carillon Chartwell

Assuming the 90 days horizon Eagle Mid Cap is expected to under-perform the Carillon Chartwell. But the mutual fund apears to be less risky and, when comparing its historical volatility, Eagle Mid Cap is 1.21 times less risky than Carillon Chartwell. The mutual fund trades about -0.02 of its potential returns per unit of risk. The Carillon Chartwell Small is currently generating about 0.01 of returns per unit of risk over similar time horizon. If you would invest  1,476  in Carillon Chartwell Small on September 2, 2025 and sell it today you would earn a total of  0.00  from holding Carillon Chartwell Small or generate 0.0% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthSignificant
Accuracy98.46%
ValuesDaily Returns

Eagle Mid Cap  vs.  Carillon Chartwell Small

 Performance 
       Timeline  
Eagle Mid Cap 

Risk-Adjusted Performance

Weakest

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

Risk-Adjusted Performance

Weakest

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

Eagle Mid and Carillon Chartwell Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Eagle Mid and Carillon Chartwell

The main advantage of trading using opposite Eagle Mid and Carillon Chartwell positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eagle Mid position performs unexpectedly, Carillon Chartwell 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 Carillon Chartwell will offset losses from the drop in Carillon Chartwell's long position.
The idea behind Eagle Mid Cap and Carillon Chartwell Small 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.
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.

Other Complementary Tools

Sign In To Macroaxis
Sign in to explore Macroaxis' wealth optimization platform and fintech modules
Money Managers
Screen money managers from public funds and ETFs managed around the world
Sync Your Broker
Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors.
Technical Analysis
Check basic technical indicators and analysis based on most latest market data
Pair Correlation
Compare performance and examine fundamental relationship between any two equity instruments