Correlation Between Jupiter Fund and AGF Management
Can any of the company-specific risk be diversified away by investing in both Jupiter Fund and AGF Management 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 Jupiter Fund and AGF Management into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jupiter Fund Management and AGF Management Limited, you can compare the effects of market volatilities on Jupiter Fund and AGF Management 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 Jupiter Fund with a short position of AGF Management. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jupiter Fund and AGF Management.
Diversification Opportunities for Jupiter Fund and AGF Management
-0.12 | Correlation Coefficient |
Good diversification
The 3 months correlation between Jupiter and AGF is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding Jupiter Fund Management and AGF Management Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AGF Management and Jupiter Fund 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 Jupiter Fund Management are associated (or correlated) with AGF Management. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AGF Management has no effect on the direction of Jupiter Fund i.e., Jupiter Fund and AGF Management go up and down completely randomly.
Pair Corralation between Jupiter Fund and AGF Management
Assuming the 90 days horizon Jupiter Fund Management is expected to under-perform the AGF Management. In addition to that, Jupiter Fund is 1.3 times more volatile than AGF Management Limited. It trades about -0.02 of its total potential returns per unit of risk. AGF Management Limited is currently generating about 0.04 per unit of volatility. If you would invest 527.00 in AGF Management Limited on November 27, 2024 and sell it today you would earn a total of 218.00 from holding AGF Management Limited or generate 41.37% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Jupiter Fund Management vs. AGF Management Limited
Performance |
Timeline |
Jupiter Fund Management |
AGF Management |
Jupiter Fund and AGF Management Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Jupiter Fund and AGF Management
The main advantage of trading using opposite Jupiter Fund and AGF Management positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jupiter Fund position performs unexpectedly, AGF Management 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 AGF Management will offset losses from the drop in AGF Management's long position.Jupiter Fund vs. SYSTEMAIR AB | Jupiter Fund vs. ALTAIR RES INC | Jupiter Fund vs. CanSino Biologics | Jupiter Fund vs. American Airlines Group |
AGF Management vs. Stag Industrial | AGF Management vs. X FAB Silicon Foundries | AGF Management vs. Kingdee International Software | AGF Management vs. Check Point Software |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |