Correlation Between Columbia Convertible and Guidepath(r) Multi-asset
Can any of the company-specific risk be diversified away by investing in both Columbia Convertible and Guidepath(r) Multi-asset 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 Columbia Convertible and Guidepath(r) Multi-asset into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Columbia Convertible Securities and Guidepath Multi Asset Income, you can compare the effects of market volatilities on Columbia Convertible and Guidepath(r) Multi-asset 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 Columbia Convertible with a short position of Guidepath(r) Multi-asset. Check out your portfolio center. Please also check ongoing floating volatility patterns of Columbia Convertible and Guidepath(r) Multi-asset.
Diversification Opportunities for Columbia Convertible and Guidepath(r) Multi-asset
0.55 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Columbia and Guidepath(r) is 0.55. Overlapping area represents the amount of risk that can be diversified away by holding Columbia Convertible Securitie and Guidepath Multi Asset Income in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guidepath(r) Multi-asset and Columbia Convertible 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 Columbia Convertible Securities are associated (or correlated) with Guidepath(r) Multi-asset. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guidepath(r) Multi-asset has no effect on the direction of Columbia Convertible i.e., Columbia Convertible and Guidepath(r) Multi-asset go up and down completely randomly.
Pair Corralation between Columbia Convertible and Guidepath(r) Multi-asset
Assuming the 90 days horizon Columbia Convertible Securities is expected to generate 1.38 times more return on investment than Guidepath(r) Multi-asset. However, Columbia Convertible is 1.38 times more volatile than Guidepath Multi Asset Income. It trades about 0.28 of its potential returns per unit of risk. Guidepath Multi Asset Income is currently generating about 0.22 per unit of risk. If you would invest 2,201 in Columbia Convertible Securities on May 31, 2025 and sell it today you would earn a total of 210.00 from holding Columbia Convertible Securities or generate 9.54% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Columbia Convertible Securitie vs. Guidepath Multi Asset Income
Performance |
| Timeline |
| Columbia Convertible |
| Guidepath(r) Multi-asset |
Columbia Convertible and Guidepath(r) Multi-asset Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Columbia Convertible and Guidepath(r) Multi-asset
The main advantage of trading using opposite Columbia Convertible and Guidepath(r) Multi-asset positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Columbia Convertible position performs unexpectedly, Guidepath(r) Multi-asset 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 Guidepath(r) Multi-asset will offset losses from the drop in Guidepath(r) Multi-asset's long position.| Columbia Convertible vs. Columbia Corporate Income | Columbia Convertible vs. Columbia Ultra Short | Columbia Convertible vs. Columbia Dividend Opportunity | Columbia Convertible vs. Columbia Integrated Large |
| Guidepath(r) Multi-asset vs. Small Cap Equity | Guidepath(r) Multi-asset vs. Old Westbury Fixed | Guidepath(r) Multi-asset vs. Siit Equity Factor | Guidepath(r) Multi-asset vs. Dodge International Stock |
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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| CEOs Directory Screen CEOs from public companies around the world |