Correlation Between Advent Claymore and Rbc Ultra-short
Can any of the company-specific risk be diversified away by investing in both Advent Claymore and Rbc Ultra-short 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 Advent Claymore and Rbc Ultra-short into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Advent Claymore Convertible and Rbc Ultra Short Fixed, you can compare the effects of market volatilities on Advent Claymore and Rbc Ultra-short 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 Advent Claymore with a short position of Rbc Ultra-short. Check out your portfolio center. Please also check ongoing floating volatility patterns of Advent Claymore and Rbc Ultra-short.
Diversification Opportunities for Advent Claymore and Rbc Ultra-short
0.75 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Advent and Rbc is 0.75. Overlapping area represents the amount of risk that can be diversified away by holding Advent Claymore Convertible and Rbc Ultra Short Fixed in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rbc Ultra Short and Advent Claymore 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 Advent Claymore Convertible are associated (or correlated) with Rbc Ultra-short. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rbc Ultra Short has no effect on the direction of Advent Claymore i.e., Advent Claymore and Rbc Ultra-short go up and down completely randomly.
Pair Corralation between Advent Claymore and Rbc Ultra-short
Assuming the 90 days horizon Advent Claymore Convertible is expected to generate 6.94 times more return on investment than Rbc Ultra-short. However, Advent Claymore is 6.94 times more volatile than Rbc Ultra Short Fixed. It trades about 0.13 of its potential returns per unit of risk. Rbc Ultra Short Fixed is currently generating about 0.21 per unit of risk. If you would invest 1,239 in Advent Claymore Convertible on June 11, 2025 and sell it today you would earn a total of 59.00 from holding Advent Claymore Convertible or generate 4.76% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 98.39% |
| Values | Daily Returns |
Advent Claymore Convertible vs. Rbc Ultra Short Fixed
Performance |
| Timeline |
| Advent Claymore Conv |
| Rbc Ultra Short |
Advent Claymore and Rbc Ultra-short Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Advent Claymore and Rbc Ultra-short
The main advantage of trading using opposite Advent Claymore and Rbc Ultra-short positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Advent Claymore position performs unexpectedly, Rbc Ultra-short 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 Rbc Ultra-short will offset losses from the drop in Rbc Ultra-short's long position.| Advent Claymore vs. Fidelity Advisor Energy | Advent Claymore vs. Jennison Natural Resources | Advent Claymore vs. Ivy Natural Resources | Advent Claymore vs. Gmo Resources |
| Rbc Ultra-short vs. Deutsche Health And | Rbc Ultra-short vs. Hartford Healthcare Hls | Rbc Ultra-short vs. Lord Abbett Health | Rbc Ultra-short vs. The Hartford Healthcare |
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 CEOs Directory module to screen CEOs from public companies around the world.
Other Complementary Tools
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |