Correlation Between ANGLER GAMING and National Retail
Can any of the company-specific risk be diversified away by investing in both ANGLER GAMING and National Retail 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 ANGLER GAMING and National Retail into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ANGLER GAMING PLC and National Retail Properties, you can compare the effects of market volatilities on ANGLER GAMING and National Retail 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 ANGLER GAMING with a short position of National Retail. Check out your portfolio center. Please also check ongoing floating volatility patterns of ANGLER GAMING and National Retail.
Diversification Opportunities for ANGLER GAMING and National Retail
-0.46 | Correlation Coefficient |
Very good diversification
The 3 months correlation between ANGLER and National is -0.46. Overlapping area represents the amount of risk that can be diversified away by holding ANGLER GAMING PLC and National Retail Properties in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on National Retail Prop and ANGLER GAMING 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 ANGLER GAMING PLC are associated (or correlated) with National Retail. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of National Retail Prop has no effect on the direction of ANGLER GAMING i.e., ANGLER GAMING and National Retail go up and down completely randomly.
Pair Corralation between ANGLER GAMING and National Retail
Assuming the 90 days horizon ANGLER GAMING PLC is expected to generate 3.86 times more return on investment than National Retail. However, ANGLER GAMING is 3.86 times more volatile than National Retail Properties. It trades about 0.04 of its potential returns per unit of risk. National Retail Properties is currently generating about 0.02 per unit of risk. If you would invest 27.00 in ANGLER GAMING PLC on December 4, 2024 and sell it today you would earn a total of 13.00 from holding ANGLER GAMING PLC or generate 48.15% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
ANGLER GAMING PLC vs. National Retail Properties
Performance |
| Timeline |
| ANGLER GAMING PLC |
| National Retail Prop |
ANGLER GAMING and National Retail Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ANGLER GAMING and National Retail
The main advantage of trading using opposite ANGLER GAMING and National Retail positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ANGLER GAMING position performs unexpectedly, National Retail 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 National Retail will offset losses from the drop in National Retail's long position.| ANGLER GAMING vs. Flutter Entertainment PLC | ANGLER GAMING vs. Churchill Downs Incorporated | ANGLER GAMING vs. Churchill Downs Incorporated | ANGLER GAMING vs. La Franaise des |
| National Retail vs. PennantPark Investment | National Retail vs. Japan Asia Investment | National Retail vs. Yunnan Water Investment | National Retail vs. PennyMac Mortgage Investment |
Check out your portfolio center.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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |