Correlation Between Jupiter Fund and CVW CLEANTECH
Can any of the company-specific risk be diversified away by investing in both Jupiter Fund and CVW CLEANTECH 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 CVW CLEANTECH 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 CVW CLEANTECH INC, you can compare the effects of market volatilities on Jupiter Fund and CVW CLEANTECH 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 CVW CLEANTECH. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jupiter Fund and CVW CLEANTECH.
Diversification Opportunities for Jupiter Fund and CVW CLEANTECH
-0.11 | Correlation Coefficient |
Good diversification
The 3 months correlation between Jupiter and CVW is -0.11. Overlapping area represents the amount of risk that can be diversified away by holding Jupiter Fund Management and CVW CLEANTECH INC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CVW CLEANTECH INC 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 CVW CLEANTECH. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CVW CLEANTECH INC has no effect on the direction of Jupiter Fund i.e., Jupiter Fund and CVW CLEANTECH go up and down completely randomly.
Pair Corralation between Jupiter Fund and CVW CLEANTECH
Assuming the 90 days horizon Jupiter Fund is expected to generate 2.87 times less return on investment than CVW CLEANTECH. But when comparing it to its historical volatility, Jupiter Fund Management is 1.76 times less risky than CVW CLEANTECH. It trades about 0.03 of its potential returns per unit of risk. CVW CLEANTECH INC is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 42.00 in CVW CLEANTECH INC on September 2, 2024 and sell it today you would earn a total of 14.00 from holding CVW CLEANTECH INC or generate 33.33% 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. CVW CLEANTECH INC
Performance |
| Timeline |
| Jupiter Fund Management |
| CVW CLEANTECH INC |
Jupiter Fund and CVW CLEANTECH Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jupiter Fund and CVW CLEANTECH
The main advantage of trading using opposite Jupiter Fund and CVW CLEANTECH positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jupiter Fund position performs unexpectedly, CVW CLEANTECH 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 CVW CLEANTECH will offset losses from the drop in CVW CLEANTECH's long position.| Jupiter Fund vs. Ameriprise Financial | Jupiter Fund vs. Ares Management Corp | Jupiter Fund vs. Superior Plus Corp | Jupiter Fund vs. NMI Holdings |
| CVW CLEANTECH vs. X FAB Silicon Foundries | CVW CLEANTECH vs. MAGIC SOFTWARE ENTR | CVW CLEANTECH vs. VITEC SOFTWARE GROUP | CVW CLEANTECH vs. PSI Software 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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |