Correlation Between Thrivent Moderately and Old Westbury

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

By analyzing existing cross correlation between Thrivent Moderately Servative and Old Westbury Large, you can compare the effects of market volatilities on Thrivent Moderately and Old Westbury 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 Thrivent Moderately with a short position of Old Westbury. Check out your portfolio center. Please also check ongoing floating volatility patterns of Thrivent Moderately and Old Westbury.

Diversification Opportunities for Thrivent Moderately and Old Westbury

0.99

Correlation Coefficient

Thrivent Moderately  Old Westbury

No risk reduction

The 3 months correlation between Thrivent and Old is 0.99. Overlapping area represents the amount of risk that can be diversified away by holding Thrivent Moderately Servative and Old Westbury Large in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Old Westbury Large and Thrivent Moderately 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 Thrivent Moderately Servative are associated (or correlated) with Old Westbury. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Old Westbury Large has no effect on the direction of Thrivent Moderately i.e., Thrivent Moderately and Old Westbury go up and down completely randomly.

Pair Corralation between Thrivent Moderately and Old Westbury

Assuming the 90 days horizon Thrivent Moderately is expected to generate 1.66 times less return on investment than Old Westbury. But when comparing it to its historical volatility, Thrivent Moderately Servative is 1.58 times less risky than Old Westbury. It trades about 0.22 of its potential returns per unit of risk. Old Westbury Large is currently generating about 0.24 of returns per unit of risk over similar time horizon. If you would invest  2,055  in Old Westbury Large on May 20, 2025 and sell it today you would earn a total of  164.00  from holding Old Westbury Large or generate 7.98% return on investment over 90 days.

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

Thrivent Moderately Servative  vs.  Old Westbury Large

Thrivent Moderately

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Thrivent Moderately Servative are ranked lower than 17 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong forward indicators, Thrivent Moderately is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Old Westbury Large

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Old Westbury Large are ranked lower than 18 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak basic indicators, Old Westbury may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with Thrivent Moderately and Old Westbury

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

The idea behind Thrivent Moderately Servative and Old Westbury Large 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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.