Correlation Between Thrivent Mid and Jpmorgan Income

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

By analyzing existing cross correlation between Thrivent Mid Cap and Jpmorgan Income Fund, you can compare the effects of market volatilities on Thrivent Mid and Jpmorgan Income 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 Mid with a short position of Jpmorgan Income. Check out your portfolio center. Please also check ongoing floating volatility patterns of Thrivent Mid and Jpmorgan Income.

Diversification Opportunities for Thrivent Mid and Jpmorgan Income

0.82

Correlation Coefficient

Thrivent Mid  Jpmorgan Income

Very poor diversification

The 3 months correlation between Thrivent and Jpmorgan is 0.82. Overlapping area represents the amount of risk that can be diversified away by holding Thrivent Mid Cap and Jpmorgan Income Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jpmorgan Income and Thrivent Mid 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 Mid Cap are associated (or correlated) with Jpmorgan Income. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jpmorgan Income has no effect on the direction of Thrivent Mid i.e., Thrivent Mid and Jpmorgan Income go up and down completely randomly.

Pair Corralation between Thrivent Mid and Jpmorgan Income

Assuming the 90 days horizon Thrivent Mid Cap is expected to generate 6.27 times more return on investment than Jpmorgan Income. However, Thrivent Mid is 6.27 times more volatile than Jpmorgan Income Fund. It trades about 0.19 of its potential returns per unit of risk. Jpmorgan Income Fund is currently generating about 0.17 per unit of risk. If you would invest  3,395  in Thrivent Mid Cap on May 1, 2025 and sell it today you would earn a total of  350.00  from holding Thrivent Mid Cap or generate 10.31% return on investment over 90 days.

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

Thrivent Mid Cap  vs.  Jpmorgan Income Fund

Thrivent Mid Cap

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Thrivent Mid Cap are ranked lower than 14 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak forward indicators, Thrivent Mid may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Jpmorgan Income

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Jpmorgan Income Fund are ranked lower than 13 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong basic indicators, Jpmorgan Income is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Thrivent Mid and Jpmorgan Income

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

The idea behind Thrivent Mid Cap and Jpmorgan Income Fund 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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.