Correlation Between Calamos Dynamic and Moderate Strategy

Can any of the company-specific risk be diversified away by investing in both Calamos Dynamic and Moderate Strategy 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 Calamos Dynamic and Moderate Strategy into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Calamos Dynamic Convertible and Moderate Strategy Fund, you can compare the effects of market volatilities on Calamos Dynamic and Moderate Strategy 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 Calamos Dynamic with a short position of Moderate Strategy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Dynamic and Moderate Strategy.

Diversification Opportunities for Calamos Dynamic and Moderate Strategy

0.0

Correlation Coefficient

Calamos Dynamic  Moderate Strategy

Pay attention - limited upside

The 3 months correlation between Calamos and Moderate is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Dynamic Convertible and Moderate Strategy Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Moderate Strategy and Calamos Dynamic 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 Calamos Dynamic Convertible are associated (or correlated) with Moderate Strategy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Moderate Strategy has no effect on the direction of Calamos Dynamic i.e., Calamos Dynamic and Moderate Strategy go up and down completely randomly.

Pair Corralation between Calamos Dynamic and Moderate Strategy

If you would invest  1,982  in Calamos Dynamic Convertible on July 5, 2025 and sell it today you would earn a total of  165.00  from holding Calamos Dynamic Convertible or generate 8.32% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	1.56%
Values	Daily Returns

Calamos Dynamic Convertible  vs.  Moderate Strategy Fund

Calamos Dynamic Conv

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Calamos Dynamic Convertible are ranked lower than 15 (%) of all funds and portfolios of funds over the last 90 days. In spite of rather weak fundamental indicators, Calamos Dynamic may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Moderate Strategy

Risk-Adjusted Performance

Solid

Over the last 90 days Moderate Strategy Fund has generated negative risk-adjusted returns adding no value to fund investors. In spite of fairly strong basic indicators, Moderate Strategy is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Calamos Dynamic and Moderate Strategy

The main advantage of trading using opposite Calamos Dynamic and Moderate Strategy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos Dynamic position performs unexpectedly, Moderate Strategy 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 Moderate Strategy will offset losses from the drop in Moderate Strategy's long position.

The idea behind Calamos Dynamic Convertible and Moderate Strategy Fund pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.