Considering 30-days investment horizon, General Elec Cap Corp Preferred is expected to generate 0.75 times more return on investment than Wells. However, General Elec Cap Corp Preferred is 1.33 times less risky than Wells. It trades about 0.02 of its potential returns per unit of risk. Wells Fargo Advantage Growth Balanced A is currently generating about -0.42 per unit of risk. If you would invest 2,563 in General Elec Cap Corp Preferred on April 26, 2012 and sell it today you would lose (1.00) from holding General Elec Cap Corp Preferred or give up 0.04% of portfolio value over 30 days.
Diversification
Modest diversification
Overlapping area represents amount of risk that can be diversified away by holding General Elec Cap Corp Preferre and Wells Fargo Advantage Growth B in the same portfolio (assuming nothing else is changed)
Over the last 30 days Wells Fargo Advantage Growth Balanced A has generated negative risk-adjusted returns adding no value to investors with long positions.