Correlation Between Siit High and Dunham Floating
Can any of the company-specific risk be diversified away by investing in both Siit High and Dunham Floating 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 Siit High and Dunham Floating into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Siit High Yield and Dunham Floating Rate, you can compare the effects of market volatilities on Siit High and Dunham Floating 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 Siit High with a short position of Dunham Floating. Check out your portfolio center. Please also check ongoing floating volatility patterns of Siit High and Dunham Floating.
Diversification Opportunities for Siit High and Dunham Floating
0.97 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Siit and Dunham is 0.97. Overlapping area represents the amount of risk that can be diversified away by holding Siit High Yield and Dunham Floating Rate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dunham Floating Rate and Siit High 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 Siit High Yield are associated (or correlated) with Dunham Floating. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dunham Floating Rate has no effect on the direction of Siit High i.e., Siit High and Dunham Floating go up and down completely randomly.
Pair Corralation between Siit High and Dunham Floating
Assuming the 90 days horizon Siit High Yield is expected to generate 2.53 times more return on investment than Dunham Floating. However, Siit High is 2.53 times more volatile than Dunham Floating Rate. It trades about 0.32 of its potential returns per unit of risk. Dunham Floating Rate is currently generating about 0.54 per unit of risk. If you would invest 689.00 in Siit High Yield on May 29, 2025 and sell it today you would earn a total of 27.00 from holding Siit High Yield or generate 3.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Siit High Yield vs. Dunham Floating Rate
Performance |
| Timeline |
| Siit High Yield |
| Dunham Floating Rate |
Siit High and Dunham Floating Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Siit High and Dunham Floating
The main advantage of trading using opposite Siit High and Dunham Floating positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Siit High position performs unexpectedly, Dunham Floating 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 Dunham Floating will offset losses from the drop in Dunham Floating's long position.| Siit High vs. Franklin Lifesmart Retirement | Siit High vs. Putnam Retirement Advantage | Siit High vs. Voya Target Retirement | Siit High vs. Blackrock Moderate Prepared |
| Dunham Floating vs. James Balanced Golden | Dunham Floating vs. Global Gold Fund | Dunham Floating vs. Gabelli Gold Fund | Dunham Floating vs. World Precious Minerals |
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.
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