Correlation Between Calvert Large and Neuberger Berman

Can any of the company-specific risk be diversified away by investing in both Calvert Large and Neuberger Berman 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 Calvert Large and Neuberger Berman into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Calvert Large Cap and Neuberger Berman Guardian, you can compare the effects of market volatilities on Calvert Large and Neuberger Berman 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 Calvert Large with a short position of Neuberger Berman. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calvert Large and Neuberger Berman.

Diversification Opportunities for Calvert Large and Neuberger Berman

0.67

Correlation Coefficient

Calvert Large  Neuberger Berman

Poor diversification

The 3 months correlation between Calvert and Neuberger is 0.67. Overlapping area represents the amount of risk that can be diversified away by holding Calvert Large Cap and Neuberger Berman Guardian in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Neuberger Berman Guardian and Calvert Large 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 Calvert Large Cap are associated (or correlated) with Neuberger Berman. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Neuberger Berman Guardian has no effect on the direction of Calvert Large i.e., Calvert Large and Neuberger Berman go up and down completely randomly.

Pair Corralation between Calvert Large and Neuberger Berman

Assuming the 90 days horizon Calvert Large is expected to generate 5.61 times less return on investment than Neuberger Berman. But when comparing it to its historical volatility, Calvert Large Cap is 7.53 times less risky than Neuberger Berman. It trades about 0.25 of its potential returns per unit of risk. Neuberger Berman Guardian is currently generating about 0.19 of returns per unit of risk over similar time horizon. If you would invest  2,787  in Neuberger Berman Guardian on May 18, 2025 and sell it today you would earn a total of  247.00  from holding Neuberger Berman Guardian or generate 8.86% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Calvert Large Cap  vs.  Neuberger Berman Guardian

Calvert Large Cap

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Calvert Large Cap are ranked lower than 19 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong technical and fundamental indicators, Calvert Large is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Neuberger Berman Guardian

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Neuberger Berman Guardian are ranked lower than 14 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak fundamental indicators, Neuberger Berman may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with Calvert Large and Neuberger Berman

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

The idea behind Calvert Large Cap and Neuberger Berman Guardian 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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.