Correlation Between Jupiter Fund and ATRESMEDIA
Can any of the company-specific risk be diversified away by investing in both Jupiter Fund and ATRESMEDIA 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 ATRESMEDIA 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 ATRESMEDIA, you can compare the effects of market volatilities on Jupiter Fund and ATRESMEDIA 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 ATRESMEDIA. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jupiter Fund and ATRESMEDIA.
Diversification Opportunities for Jupiter Fund and ATRESMEDIA
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Jupiter and ATRESMEDIA is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding Jupiter Fund Management and ATRESMEDIA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ATRESMEDIA 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 ATRESMEDIA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ATRESMEDIA has no effect on the direction of Jupiter Fund i.e., Jupiter Fund and ATRESMEDIA go up and down completely randomly.
Pair Corralation between Jupiter Fund and ATRESMEDIA
Assuming the 90 days horizon Jupiter Fund Management is expected to under-perform the ATRESMEDIA. In addition to that, Jupiter Fund is 1.99 times more volatile than ATRESMEDIA. It trades about 0.0 of its total potential returns per unit of risk. ATRESMEDIA is currently generating about 0.08 per unit of volatility. If you would invest 310.00 in ATRESMEDIA on September 1, 2024 and sell it today you would earn a total of 139.00 from holding ATRESMEDIA or generate 44.84% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jupiter Fund Management vs. ATRESMEDIA
Performance |
| Timeline |
| Jupiter Fund Management |
| ATRESMEDIA |
Jupiter Fund and ATRESMEDIA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jupiter Fund and ATRESMEDIA
The main advantage of trading using opposite Jupiter Fund and ATRESMEDIA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jupiter Fund position performs unexpectedly, ATRESMEDIA 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 ATRESMEDIA will offset losses from the drop in ATRESMEDIA's long position.| Jupiter Fund vs. Harmony Gold Mining | Jupiter Fund vs. NH HOTEL GROUP | Jupiter Fund vs. ADRIATIC METALS LS 013355 | Jupiter Fund vs. Zijin Mining Group |
| ATRESMEDIA vs. Singapore Reinsurance | ATRESMEDIA vs. Safety Insurance Group | ATRESMEDIA vs. Direct Line Insurance | ATRESMEDIA vs. LIFENET INSURANCE CO |
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
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