Correlation Between AFRICAN ALLIANCE and STANDARD ALLIANCE
Specify exactly 2 symbols:
By analyzing existing cross correlation between AFRICAN ALLIANCE INSURANCE and STANDARD ALLIANCE INSURANCE, you can compare the effects of market volatilities on AFRICAN ALLIANCE and STANDARD ALLIANCE 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 AFRICAN ALLIANCE with a short position of STANDARD ALLIANCE. Check out your portfolio center. Please also check ongoing floating volatility patterns of AFRICAN ALLIANCE and STANDARD ALLIANCE.
Diversification Opportunities for AFRICAN ALLIANCE and STANDARD ALLIANCE
1.0 | Correlation Coefficient |
No risk reduction
The 3 months correlation between AFRICAN and STANDARD is 1.0. Overlapping area represents the amount of risk that can be diversified away by holding AFRICAN ALLIANCE INSURANCE and STANDARD ALLIANCE INSURANCE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on STANDARD ALLIANCE and AFRICAN ALLIANCE 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 AFRICAN ALLIANCE INSURANCE are associated (or correlated) with STANDARD ALLIANCE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of STANDARD ALLIANCE has no effect on the direction of AFRICAN ALLIANCE i.e., AFRICAN ALLIANCE and STANDARD ALLIANCE go up and down completely randomly.
Pair Corralation between AFRICAN ALLIANCE and STANDARD ALLIANCE
If you would invest 20.00 in STANDARD ALLIANCE INSURANCE on November 5, 2024 and sell it today you would earn a total of 0.00 from holding STANDARD ALLIANCE INSURANCE or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
AFRICAN ALLIANCE INSURANCE vs. STANDARD ALLIANCE INSURANCE
Performance |
| Timeline |
| AFRICAN ALLIANCE INS |
| STANDARD ALLIANCE |
AFRICAN ALLIANCE and STANDARD ALLIANCE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AFRICAN ALLIANCE and STANDARD ALLIANCE
The main advantage of trading using opposite AFRICAN ALLIANCE and STANDARD ALLIANCE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AFRICAN ALLIANCE position performs unexpectedly, STANDARD ALLIANCE 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 STANDARD ALLIANCE will offset losses from the drop in STANDARD ALLIANCE's long position.| AFRICAN ALLIANCE vs. ECOBANK TRANSNATIONAL INCORPORATED | AFRICAN ALLIANCE vs. CUSTODIAN INVESTMENT PLC | AFRICAN ALLIANCE vs. NEM INSURANCE PLC | AFRICAN ALLIANCE vs. DN TYRE RUBBER |
| STANDARD ALLIANCE vs. STACO INSURANCE PLC | STANDARD ALLIANCE vs. UNION HOMES SAVINGS | STANDARD ALLIANCE vs. WEMA BANK PLC | STANDARD ALLIANCE vs. NEM INSURANCE PLC |
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 Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules |