Correlation Between AGNC INVESTMENT and Gaming
Can any of the company-specific risk be diversified away by investing in both AGNC INVESTMENT and Gaming 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 AGNC INVESTMENT and Gaming into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between AGNC INVESTMENT and Gaming and Leisure, you can compare the effects of market volatilities on AGNC INVESTMENT and Gaming 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 AGNC INVESTMENT with a short position of Gaming. Check out your portfolio center. Please also check ongoing floating volatility patterns of AGNC INVESTMENT and Gaming.
Diversification Opportunities for AGNC INVESTMENT and Gaming
0.26 | Correlation Coefficient |
Modest diversification
The 3 months correlation between AGNC and Gaming is 0.26. Overlapping area represents the amount of risk that can be diversified away by holding AGNC INVESTMENT and Gaming and Leisure in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gaming and Leisure and AGNC INVESTMENT 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 AGNC INVESTMENT are associated (or correlated) with Gaming. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gaming and Leisure has no effect on the direction of AGNC INVESTMENT i.e., AGNC INVESTMENT and Gaming go up and down completely randomly.
Pair Corralation between AGNC INVESTMENT and Gaming
Assuming the 90 days trading horizon AGNC INVESTMENT is expected to generate 1.0 times more return on investment than Gaming. However, AGNC INVESTMENT is 1.0 times less risky than Gaming. It trades about 0.09 of its potential returns per unit of risk. Gaming and Leisure is currently generating about -0.13 per unit of risk. If you would invest 901.00 in AGNC INVESTMENT on October 19, 2024 and sell it today you would earn a total of 20.00 from holding AGNC INVESTMENT or generate 2.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 94.44% |
| Values | Daily Returns |
AGNC INVESTMENT vs. Gaming and Leisure
Performance |
| Timeline |
| AGNC INVESTMENT |
| Gaming and Leisure |
AGNC INVESTMENT and Gaming Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AGNC INVESTMENT and Gaming
The main advantage of trading using opposite AGNC INVESTMENT and Gaming positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AGNC INVESTMENT position performs unexpectedly, Gaming 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 Gaming will offset losses from the drop in Gaming's long position.| AGNC INVESTMENT vs. ecotel communication ag | AGNC INVESTMENT vs. Khiron Life Sciences | AGNC INVESTMENT vs. Zoom Video Communications | AGNC INVESTMENT vs. The Japan Steel |
| Gaming vs. SOGECLAIR SA INH | Gaming vs. AGNC INVESTMENT | Gaming vs. EAT WELL INVESTMENT | Gaming vs. MidCap Financial Investment |
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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