Correlation Between Mesirow Financial and Putnam Global
Can any of the company-specific risk be diversified away by investing in both Mesirow Financial and Putnam Global 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 Mesirow Financial and Putnam Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mesirow Financial Small and Putnam Global Financials, you can compare the effects of market volatilities on Mesirow Financial and Putnam Global 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 Mesirow Financial with a short position of Putnam Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mesirow Financial and Putnam Global.
Diversification Opportunities for Mesirow Financial and Putnam Global
0.01 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Mesirow and Putnam is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding Mesirow Financial Small and Putnam Global Financials in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Putnam Global Financials and Mesirow Financial 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 Mesirow Financial Small are associated (or correlated) with Putnam Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Putnam Global Financials has no effect on the direction of Mesirow Financial i.e., Mesirow Financial and Putnam Global go up and down completely randomly.
Pair Corralation between Mesirow Financial and Putnam Global
Assuming the 90 days horizon Mesirow Financial is expected to generate 1.44 times less return on investment than Putnam Global. In addition to that, Mesirow Financial is 3.03 times more volatile than Putnam Global Financials. It trades about 0.03 of its total potential returns per unit of risk. Putnam Global Financials is currently generating about 0.13 per unit of volatility. If you would invest 1,099 in Putnam Global Financials on September 4, 2025 and sell it today you would earn a total of 34.00 from holding Putnam Global Financials or generate 3.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 98.44% |
| Values | Daily Returns |
Mesirow Financial Small vs. Putnam Global Financials
Performance |
| Timeline |
| Mesirow Financial Small |
| Putnam Global Financials |
Mesirow Financial and Putnam Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mesirow Financial and Putnam Global
The main advantage of trading using opposite Mesirow Financial and Putnam Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mesirow Financial position performs unexpectedly, Putnam Global 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 Putnam Global will offset losses from the drop in Putnam Global's long position.| Mesirow Financial vs. Fidelity Large Cap | Mesirow Financial vs. Nuveen Large Cap | Mesirow Financial vs. American Century Etf | Mesirow Financial vs. Prudential Qma Large Cap |
| Putnam Global vs. Fidelity Short Term Treasury | Putnam Global vs. Virtus Multi Sector Short | Putnam Global vs. Aqr Sustainable Long Short | Putnam Global vs. Vanguard Short Term Treasury |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
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