Correlation Between SPDR Barclays and John Hancock

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

By analyzing existing cross correlation between SPDR Barclays Long and John Hancock Variable, you can compare the effects of market volatilities on SPDR Barclays and John Hancock 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 SPDR Barclays with a short position of John Hancock. Check out your portfolio center. Please also check ongoing floating volatility patterns of SPDR Barclays and John Hancock.

Diversification Opportunities for SPDR Barclays and John Hancock

-0.11

Correlation Coefficient

SPDR Barclays  John Hancock

Good diversification

The 3 months correlation between SPDR and John is -0.11. Overlapping area represents the amount of risk that can be diversified away by holding SPDR Barclays Long and John Hancock Variable in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on John Hancock Variable and SPDR Barclays 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 SPDR Barclays Long are associated (or correlated) with John Hancock. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of John Hancock Variable has no effect on the direction of SPDR Barclays i.e., SPDR Barclays and John Hancock go up and down completely randomly.

Pair Corralation between SPDR Barclays and John Hancock

If you would invest  2,593  in SPDR Barclays Long on September 13, 2025 and sell it today you would earn a total of  51.50  from holding SPDR Barclays Long or generate 1.99% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

SPDR Barclays Long  vs.  John Hancock Variable

SPDR Barclays Long

Risk-Adjusted Performance

Weakest

Over the last 90 days SPDR Barclays Long has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent basic indicators, SPDR Barclays is not utilizing all of its potentials. The current stock price mess, may contribute to short-term losses for the institutional investors.

John Hancock Variable

Risk-Adjusted Performance

Weak

Over the last 90 days John Hancock Variable has generated negative risk-adjusted returns adding no value to fund investors. In spite of fairly strong forward-looking signals, John Hancock is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with SPDR Barclays and John Hancock

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

The idea behind SPDR Barclays Long and John Hancock Variable 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 Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.