Correlation Analysis Between DOW and RiverNorthDoubleLine

This module allows you to analyze existing cross correlation between DOW and RiverNorthDoubleLine Strategic. You can compare the effects of market volatilities on DOW and RiverNorthDoubleLine 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 DOW with a short position of RiverNorthDoubleLine. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and RiverNorthDoubleLine.
Horizon     30 Days    Login   to change
Symbolsvs
Check Efficiency

Comparative Performance

 Predicted Return Density 
      Returns 

DOW  vs.  RiverNorthDoubleLine Strategic

 Performance (%) 
      Timeline 

Pair Volatility

Given the investment horizon of 30 days, DOW is expected to generate 4.39 times more return on investment than RiverNorthDoubleLine. However, DOW is 4.39 times more volatile than RiverNorthDoubleLine Strategic. It trades about 0.11 of its potential returns per unit of risk. RiverNorthDoubleLine Strategic is currently generating about -0.06 per unit of risk. If you would invest  2,683,551  in DOW on November 8, 2019 and sell it today you would earn a total of  117,955  from holding DOW or generate 4.4% return on investment over 30 days.

Pair Corralation between DOW and RiverNorthDoubleLine

-0.67
Time Period3 Months [change]
DirectionNegative 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Diversification Opportunities for DOW and RiverNorthDoubleLine

DOW diversification synergy

Excellent diversification

Overlapping area represents the amount of risk that can be diversified away by holding DOW and RiverNorthDoubleLine Strategic in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on RiverNorthDoubleLine and DOW 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 DOW are associated (or correlated) with RiverNorthDoubleLine. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of RiverNorthDoubleLine has no effect on the direction of DOW i.e. DOW and RiverNorthDoubleLine go up and down completely randomly.
    Optimize
See also your portfolio center. Please also try My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. macroaxis watchlist is based on self-learning algorithm to remember stocks you like.


 
Search macroaxis.com