Correlation Between TD Canadian and RBC Quant
Return interaction between TD Canadian Long and RBC Quant European indicates how closely their price movements are linked. The interaction provides context on remaining diversifiable risk in a joint position.
This page measures how tightly TD Canadian Long and RBC Quant European returns move together and where diversification can still help. The output helps evaluate whether combining the two amplifies or reduces concentration risk. Testing a directional pair using long TD Canadian and short RBC Quant can provide additional context. Go to your portfolio center
Diversification Opportunities for TD Canadian and RBC Quant
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between TCLB and RBC is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding TD Canadian Long and RBC Quant European in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on RBC Quant European and TD Canadian 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 TD Canadian Long are associated (or correlated) with RBC Quant. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of RBC Quant European has no effect on the direction of TD Canadian i.e., TD Canadian and RBC Quant go up and down completely randomly.
Pair Corralation between TD Canadian and RBC Quant
Assuming the 90-day trading horizon TD Canadian is expected to generate 4.42 times less return on investment than RBC Quant. But when comparing it to its historical volatility, TD Canadian Long is 1.68 times less risky than RBC Quant. It trades about 0.02 of its potential returns per unit of risk. RBC Quant European is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you had invested C$ 3,379 in RBC Quant European on December 22, 2025 and sold it today you would have earned a total of C$ 89.00 from holding RBC Quant European or generated 2.63% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
TD Canadian Long vs. RBC Quant European
Performance |
| Timeline |
| TD Canadian Long |
Risk-Adjusted Performance
Soft
Weak | Strong |
| RBC Quant European |
Risk-Adjusted Performance
Mild
Weak | Strong |
TD Canadian and RBC Quant Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with TD Canadian and RBC Quant
Two-leg strategies using TD Canadian and RBC Quant matter because the combined position can be designed to be more market-neutral. This is most useful when the two securities share economic drivers but still create room for relative-performance divergence.| TD Canadian vs. iShares 1 10Yr Laddered | TD Canadian vs. BMO Discount Bond | TD Canadian vs. iShares 1 5 Year | TD Canadian vs. BMO Mid Provincial |
| RBC Quant vs. Brompton European Dividend | RBC Quant vs. Mackenzie International Equity | RBC Quant vs. RBC Quant European | RBC Quant vs. iShares MSCI Min |
Go to your portfolio centerThe analysis presented here should support, not replace, the broader process of selecting and combining portfolio holdings. The practical goal is to improve the mix of assets already under consideration. You can also try the Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
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