Correlation Between Ridgeworth Silvant and Lebenthal Lisanti
Can any of the company-specific risk be diversified away by investing in both Ridgeworth Silvant and Lebenthal Lisanti 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 Ridgeworth Silvant and Lebenthal Lisanti into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ridgeworth Silvant Large and Lebenthal Lisanti Small, you can compare the effects of market volatilities on Ridgeworth Silvant and Lebenthal Lisanti 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 Ridgeworth Silvant with a short position of Lebenthal Lisanti. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ridgeworth Silvant and Lebenthal Lisanti.
Diversification Opportunities for Ridgeworth Silvant and Lebenthal Lisanti
0.71 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Ridgeworth and Lebenthal is 0.71. Overlapping area represents the amount of risk that can be diversified away by holding Ridgeworth Silvant Large and Lebenthal Lisanti Small in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lebenthal Lisanti Small and Ridgeworth Silvant 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 Ridgeworth Silvant Large are associated (or correlated) with Lebenthal Lisanti. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lebenthal Lisanti Small has no effect on the direction of Ridgeworth Silvant i.e., Ridgeworth Silvant and Lebenthal Lisanti go up and down completely randomly.
Pair Corralation between Ridgeworth Silvant and Lebenthal Lisanti
Assuming the 90 days horizon Ridgeworth Silvant Large is expected to generate 0.59 times more return on investment than Lebenthal Lisanti. However, Ridgeworth Silvant Large is 1.69 times less risky than Lebenthal Lisanti. It trades about 0.05 of its potential returns per unit of risk. Lebenthal Lisanti Small is currently generating about 0.01 per unit of risk. If you would invest 1,804 in Ridgeworth Silvant Large on September 5, 2025 and sell it today you would earn a total of 36.00 from holding Ridgeworth Silvant Large or generate 2.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Ridgeworth Silvant Large vs. Lebenthal Lisanti Small
Performance |
| Timeline |
| Ridgeworth Silvant Large |
| Lebenthal Lisanti Small |
Ridgeworth Silvant and Lebenthal Lisanti Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ridgeworth Silvant and Lebenthal Lisanti
The main advantage of trading using opposite Ridgeworth Silvant and Lebenthal Lisanti positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ridgeworth Silvant position performs unexpectedly, Lebenthal Lisanti 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 Lebenthal Lisanti will offset losses from the drop in Lebenthal Lisanti's long position.| Ridgeworth Silvant vs. Auer Growth Fund | Ridgeworth Silvant vs. Rbb Fund | Ridgeworth Silvant vs. Federated Municipal High | Ridgeworth Silvant vs. Balanced Fund Retail |
| Lebenthal Lisanti vs. Diamond Hill Long Short | Lebenthal Lisanti vs. Old Westbury Short Term | Lebenthal Lisanti vs. Vanguard Short Term Treasury | Lebenthal Lisanti vs. Ultra Short Fixed Income |
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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
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