Correlation Between SIVERS SEMICONDUCTORS and Apollo Investment
Can any of the company-specific risk be diversified away by investing in both SIVERS SEMICONDUCTORS and Apollo Investment 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 SIVERS SEMICONDUCTORS and Apollo Investment into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SIVERS SEMICONDUCTORS AB and Apollo Investment Corp, you can compare the effects of market volatilities on SIVERS SEMICONDUCTORS and Apollo Investment 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 SIVERS SEMICONDUCTORS with a short position of Apollo Investment. Check out your portfolio center. Please also check ongoing floating volatility patterns of SIVERS SEMICONDUCTORS and Apollo Investment.
Diversification Opportunities for SIVERS SEMICONDUCTORS and Apollo Investment
-0.9 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between SIVERS and Apollo is -0.9. Overlapping area represents the amount of risk that can be diversified away by holding SIVERS SEMICONDUCTORS AB and Apollo Investment Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apollo Investment Corp and SIVERS SEMICONDUCTORS 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 SIVERS SEMICONDUCTORS AB are associated (or correlated) with Apollo Investment. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apollo Investment Corp has no effect on the direction of SIVERS SEMICONDUCTORS i.e., SIVERS SEMICONDUCTORS and Apollo Investment go up and down completely randomly.
Pair Corralation between SIVERS SEMICONDUCTORS and Apollo Investment
Assuming the 90 days horizon SIVERS SEMICONDUCTORS AB is expected to under-perform the Apollo Investment. In addition to that, SIVERS SEMICONDUCTORS is 5.36 times more volatile than Apollo Investment Corp. It trades about -0.06 of its total potential returns per unit of risk. Apollo Investment Corp is currently generating about 0.0 per unit of volatility. If you would invest 1,310 in Apollo Investment Corp on September 13, 2024 and sell it today you would lose (18.00) from holding Apollo Investment Corp or give up 1.37% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
SIVERS SEMICONDUCTORS AB vs. Apollo Investment Corp
Performance |
| Timeline |
| SIVERS SEMICONDUCTORS |
| Apollo Investment Corp |
SIVERS SEMICONDUCTORS and Apollo Investment Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SIVERS SEMICONDUCTORS and Apollo Investment
The main advantage of trading using opposite SIVERS SEMICONDUCTORS and Apollo Investment positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SIVERS SEMICONDUCTORS position performs unexpectedly, Apollo Investment 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 Apollo Investment will offset losses from the drop in Apollo Investment's long position.| SIVERS SEMICONDUCTORS vs. REGAL ASIAN INVESTMENTS | SIVERS SEMICONDUCTORS vs. Monster Beverage Corp | SIVERS SEMICONDUCTORS vs. SLR Investment Corp | SIVERS SEMICONDUCTORS vs. PennyMac Mortgage Investment |
| Apollo Investment vs. Superior Plus Corp | Apollo Investment vs. SIVERS SEMICONDUCTORS AB | Apollo Investment vs. CHINA HUARONG ENERHD 50 | Apollo Investment vs. NORDIC HALIBUT AS |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
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