Correlation Between Calvert Balanced and Neuberger Berman

Can any of the company-specific risk be diversified away by investing in both Calvert Balanced 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 Balanced 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 Balanced Portfolio and Neuberger Berman Intermediate, you can compare the effects of market volatilities on Calvert Balanced 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 Balanced with a short position of Neuberger Berman. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calvert Balanced and Neuberger Berman.

Diversification Opportunities for Calvert Balanced and Neuberger Berman

-0.69

Correlation Coefficient

Calvert Balanced  Neuberger Berman

Excellent diversification

The 3 months correlation between Calvert and Neuberger is -0.69. Overlapping area represents the amount of risk that can be diversified away by holding Calvert Balanced Portfolio and Neuberger Berman Intermediate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Neuberger Berman Int and Calvert Balanced 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 Balanced Portfolio 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 Int has no effect on the direction of Calvert Balanced i.e., Calvert Balanced and Neuberger Berman go up and down completely randomly.

Pair Corralation between Calvert Balanced and Neuberger Berman

Assuming the 90 days horizon Calvert Balanced Portfolio is expected to generate 1.43 times more return on investment than Neuberger Berman. However, Calvert Balanced is 1.43 times more volatile than Neuberger Berman Intermediate. It trades about 0.06 of its potential returns per unit of risk. Neuberger Berman Intermediate is currently generating about -0.06 per unit of risk. If you would invest  3,955  in Calvert Balanced Portfolio on April 29, 2025 and sell it today you would earn a total of  537.00  from holding Calvert Balanced Portfolio or generate 13.58% return on investment over 90 days.

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

Calvert Balanced Portfolio  vs.  Neuberger Berman Intermediate

Calvert Balanced Por

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Calvert Balanced Portfolio are ranked lower than 24 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak fundamental indicators, Calvert Balanced may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Neuberger Berman Int

Risk-Adjusted Performance

Very Weak

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

Pair Trading with Calvert Balanced and Neuberger Berman

The main advantage of trading using opposite Calvert Balanced and Neuberger Berman positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calvert Balanced 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 Balanced Portfolio and Neuberger Berman Intermediate 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 Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.