Correlation Between Virtus Kar and Champlain Small
Can any of the company-specific risk be diversified away by investing in both Virtus Kar and Champlain Small 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 Virtus Kar and Champlain Small into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Virtus Kar Small Cap and Champlain Small, you can compare the effects of market volatilities on Virtus Kar and Champlain Small 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 Virtus Kar with a short position of Champlain Small. Check out your portfolio center. Please also check ongoing floating volatility patterns of Virtus Kar and Champlain Small.
Diversification Opportunities for Virtus Kar and Champlain Small
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Virtus and Champlain is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding Virtus Kar Small Cap and Champlain Small in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Champlain Small and Virtus Kar 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 Virtus Kar Small Cap are associated (or correlated) with Champlain Small. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Champlain Small has no effect on the direction of Virtus Kar i.e., Virtus Kar and Champlain Small go up and down completely randomly.
Pair Corralation between Virtus Kar and Champlain Small
Assuming the 90 days horizon Virtus Kar Small Cap is expected to under-perform the Champlain Small. But the mutual fund apears to be less risky and, when comparing its historical volatility, Virtus Kar Small Cap is 1.29 times less risky than Champlain Small. The mutual fund trades about -0.19 of its potential returns per unit of risk. The Champlain Small is currently generating about -0.09 of returns per unit of risk over similar time horizon. If you would invest 2,233 in Champlain Small on August 25, 2025 and sell it today you would lose (145.00) from holding Champlain Small or give up 6.49% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Virtus Kar Small Cap vs. Champlain Small
Performance |
| Timeline |
| Virtus Kar Small |
| Champlain Small |
Virtus Kar and Champlain Small Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Virtus Kar and Champlain Small
The main advantage of trading using opposite Virtus Kar and Champlain Small positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Virtus Kar position performs unexpectedly, Champlain Small 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 Champlain Small will offset losses from the drop in Champlain Small's long position.| Virtus Kar vs. Virtus Kar Small Cap | Virtus Kar vs. Virtus Kar Small Cap | Virtus Kar vs. Virtus Kar Small Cap | Virtus Kar vs. Virtus Kar Small Cap |
| Champlain Small vs. BlackRock ESG Capital | Champlain Small vs. Blackrock Enhanced Equity | Champlain Small vs. Templeton Developing Markets | Champlain Small vs. Templeton Developing Markets |
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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |