Correlation Between Nasdaq 100 and Tiaa-cref Large-cap
Can any of the company-specific risk be diversified away by investing in both Nasdaq 100 and Tiaa-cref Large-cap 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 Nasdaq 100 and Tiaa-cref Large-cap into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nasdaq 100 2x Strategy and Tiaa Cref Large Cap Growth, you can compare the effects of market volatilities on Nasdaq 100 and Tiaa-cref Large-cap 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 Nasdaq 100 with a short position of Tiaa-cref Large-cap. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nasdaq 100 and Tiaa-cref Large-cap.
Diversification Opportunities for Nasdaq 100 and Tiaa-cref Large-cap
0.99 | Correlation Coefficient |
No risk reduction
The 3 months correlation between Nasdaq and Tiaa-cref is 0.99. Overlapping area represents the amount of risk that can be diversified away by holding Nasdaq 100 2x Strategy and Tiaa Cref Large Cap Growth in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Tiaa-cref Large-cap and Nasdaq 100 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 Nasdaq 100 2x Strategy are associated (or correlated) with Tiaa-cref Large-cap. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Tiaa-cref Large-cap has no effect on the direction of Nasdaq 100 i.e., Nasdaq 100 and Tiaa-cref Large-cap go up and down completely randomly.
Pair Corralation between Nasdaq 100 and Tiaa-cref Large-cap
Assuming the 90 days horizon Nasdaq 100 2x Strategy is expected to generate 1.96 times more return on investment than Tiaa-cref Large-cap. However, Nasdaq 100 is 1.96 times more volatile than Tiaa Cref Large Cap Growth. It trades about 0.19 of its potential returns per unit of risk. Tiaa Cref Large Cap Growth is currently generating about 0.21 per unit of risk. If you would invest 53,177 in Nasdaq 100 2x Strategy on May 28, 2025 and sell it today you would earn a total of 9,950 from holding Nasdaq 100 2x Strategy or generate 18.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 98.41% |
| Values | Daily Returns |
Nasdaq 100 2x Strategy vs. Tiaa Cref Large Cap Growth
Performance |
| Timeline |
| Nasdaq 100 2x |
| Tiaa-cref Large-cap |
Nasdaq 100 and Tiaa-cref Large-cap Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nasdaq 100 and Tiaa-cref Large-cap
The main advantage of trading using opposite Nasdaq 100 and Tiaa-cref Large-cap positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nasdaq 100 position performs unexpectedly, Tiaa-cref Large-cap 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 Tiaa-cref Large-cap will offset losses from the drop in Tiaa-cref Large-cap's long position.| Nasdaq 100 vs. Sp 500 2x | Nasdaq 100 vs. Inverse Nasdaq 100 2x | Nasdaq 100 vs. Inverse Sp 500 | Nasdaq 100 vs. Ultra Nasdaq 100 Profunds |
| Tiaa-cref Large-cap vs. Tiaa Cref Large Cap Growth | Tiaa-cref Large-cap vs. Tiaa Cref Small Cap Equity | Tiaa-cref Large-cap vs. Tiaa Cref Large Cap Value | Tiaa-cref Large-cap vs. Tiaa Cref Large Cap Growth |
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.
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments |