Correlation Between Walker Dunlop and Multifactor

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

By analyzing existing cross correlation between Walker Dunlop and Multifactor Equity Fund, you can compare the effects of market volatilities on Walker Dunlop and Multifactor 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 Walker Dunlop with a short position of Multifactor. Check out your portfolio center. Please also check ongoing floating volatility patterns of Walker Dunlop and Multifactor.

Diversification Opportunities for Walker Dunlop and Multifactor

0.0

Correlation Coefficient

Walker Dunlop  Multifactor

Pay attention - limited upside

The 3 months correlation between Walker and Multifactor is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Walker Dunlop and Multifactor Equity Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Multifactor Equity and Walker Dunlop 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 Walker Dunlop are associated (or correlated) with Multifactor. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Multifactor Equity has no effect on the direction of Walker Dunlop i.e., Walker Dunlop and Multifactor go up and down completely randomly.

Pair Corralation between Walker Dunlop and Multifactor

If you would invest  7,074  in Walker Dunlop on May 7, 2025 and sell it today you would earn a total of  491.00  from holding Walker Dunlop or generate 6.94% return on investment over 90 days.

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

Walker Dunlop  vs.  Multifactor Equity Fund

Walker Dunlop

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Walker Dunlop are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of rather fragile fundamental indicators, Walker Dunlop may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Multifactor Equity

Risk-Adjusted Performance

Solid

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

Pair Trading with Walker Dunlop and Multifactor

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

The idea behind Walker Dunlop and Multifactor Equity 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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.