Correlation Between Calamos Long/short and Ab Core

Can any of the company-specific risk be diversified away by investing in both Calamos Long/short and Ab Core 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 Long/short and Ab Core into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Calamos Longshort Fund and Ab E Opportunities, you can compare the effects of market volatilities on Calamos Long/short and Ab Core 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 Long/short with a short position of Ab Core. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Long/short and Ab Core.

Diversification Opportunities for Calamos Long/short and Ab Core

0.81

Correlation Coefficient

Calamos Long/short  Ab Core

Very poor diversification

The 3 months correlation between Calamos and ADGAX is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Longshort Fund and Ab E Opportunities in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ab E Opportunities and Calamos Long/short 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 Longshort Fund are associated (or correlated) with Ab Core. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ab E Opportunities has no effect on the direction of Calamos Long/short i.e., Calamos Long/short and Ab Core go up and down completely randomly.

Pair Corralation between Calamos Long/short and Ab Core

Assuming the 90 days horizon Calamos Longshort Fund is expected to generate 1.11 times more return on investment than Ab Core. However, Calamos Long/short is 1.11 times more volatile than Ab E Opportunities. It trades about 0.14 of its potential returns per unit of risk. Ab E Opportunities is currently generating about 0.13 per unit of risk. If you would invest  1,091  in Calamos Longshort Fund on July 30, 2025 and sell it today you would earn a total of  72.00  from holding Calamos Longshort Fund or generate 6.6% return on investment over 90 days.

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

Calamos Longshort Fund  vs.  Ab E Opportunities

Calamos Long/short

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Calamos Longshort Fund are ranked lower than 10 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak basic indicators, Calamos Long/short may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Ab E Opportunities

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Ab E Opportunities are ranked lower than 10 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong basic indicators, Ab Core 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 Long/short and Ab Core

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

The idea behind Calamos Longshort Fund and Ab E Opportunities 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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.