Correlation Between Nuveen Global and Nuveen Multi

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

By analyzing existing cross correlation between Nuveen Global High and Nuveen Multi Asset Income, you can compare the effects of market volatilities on Nuveen Global and Nuveen Multi 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 Nuveen Global with a short position of Nuveen Multi. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nuveen Global and Nuveen Multi.

Diversification Opportunities for Nuveen Global and Nuveen Multi

0.93

Correlation Coefficient

Nuveen Global  Nuveen Multi

Almost no diversification

The 3 months correlation between Nuveen and Nuveen is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding Nuveen Global High and Nuveen Multi Asset Income in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nuveen Multi Asset and Nuveen Global 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 Nuveen Global High are associated (or correlated) with Nuveen Multi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nuveen Multi Asset has no effect on the direction of Nuveen Global i.e., Nuveen Global and Nuveen Multi go up and down completely randomly.

Pair Corralation between Nuveen Global and Nuveen Multi

Considering the 90-day investment horizon Nuveen Global High is expected to generate 0.82 times more return on investment than Nuveen Multi. However, Nuveen Global High is 1.23 times less risky than Nuveen Multi. It trades about 0.32 of its potential returns per unit of risk. Nuveen Multi Asset Income is currently generating about 0.16 per unit of risk. If you would invest  1,207  in Nuveen Global High on May 7, 2025 and sell it today you would earn a total of  114.00  from holding Nuveen Global High or generate 9.44% return on investment over 90 days.

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

Nuveen Global High  vs.  Nuveen Multi Asset Income

Nuveen Global High

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Nuveen Global High are ranked lower than 24 (%) of all global equities and portfolios over the last 90 days. Despite fairly inconsistent technical and fundamental indicators, Nuveen Global may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Nuveen Multi Asset

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Nuveen Multi Asset Income are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. Despite fairly strong basic indicators, Nuveen Multi is not utilizing all of its potentials. The recent stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with Nuveen Global and Nuveen Multi

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

The idea behind Nuveen Global High and Nuveen Multi Asset Income 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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.