Correlation Between AEGEAN AIRLINES and Amneal Pharmaceuticals
Can any of the company-specific risk be diversified away by investing in both AEGEAN AIRLINES and Amneal Pharmaceuticals 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 AEGEAN AIRLINES and Amneal Pharmaceuticals into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between AEGEAN AIRLINES and Amneal Pharmaceuticals, you can compare the effects of market volatilities on AEGEAN AIRLINES and Amneal Pharmaceuticals 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 AEGEAN AIRLINES with a short position of Amneal Pharmaceuticals. Check out your portfolio center. Please also check ongoing floating volatility patterns of AEGEAN AIRLINES and Amneal Pharmaceuticals.
Diversification Opportunities for AEGEAN AIRLINES and Amneal Pharmaceuticals
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between AEGEAN and Amneal is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding AEGEAN AIRLINES and Amneal Pharmaceuticals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amneal Pharmaceuticals and AEGEAN AIRLINES 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 AEGEAN AIRLINES are associated (or correlated) with Amneal Pharmaceuticals. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amneal Pharmaceuticals has no effect on the direction of AEGEAN AIRLINES i.e., AEGEAN AIRLINES and Amneal Pharmaceuticals go up and down completely randomly.
Pair Corralation between AEGEAN AIRLINES and Amneal Pharmaceuticals
If you would invest 1,047 in AEGEAN AIRLINES on October 14, 2024 and sell it today you would lose (23.00) from holding AEGEAN AIRLINES or give up 2.2% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.4% |
| Values | Daily Returns |
AEGEAN AIRLINES vs. Amneal Pharmaceuticals
Performance |
| Timeline |
| AEGEAN AIRLINES |
| Amneal Pharmaceuticals |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
AEGEAN AIRLINES and Amneal Pharmaceuticals Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AEGEAN AIRLINES and Amneal Pharmaceuticals
The main advantage of trading using opposite AEGEAN AIRLINES and Amneal Pharmaceuticals positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AEGEAN AIRLINES position performs unexpectedly, Amneal Pharmaceuticals 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 Amneal Pharmaceuticals will offset losses from the drop in Amneal Pharmaceuticals' long position.| AEGEAN AIRLINES vs. TITANIUM TRANSPORTGROUP | AEGEAN AIRLINES vs. Yuexiu Transport Infrastructure | AEGEAN AIRLINES vs. Liberty Broadband | AEGEAN AIRLINES vs. NAGOYA RAILROAD |
| Amneal Pharmaceuticals vs. Cleanaway Waste Management | Amneal Pharmaceuticals vs. CeoTronics AG | Amneal Pharmaceuticals vs. Nippon Steel | Amneal Pharmaceuticals vs. Q2M Managementberatung AG |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |