Correlation Between Air Lease and Autohellas
Can any of the company-specific risk be diversified away by investing in both Air Lease and Autohellas 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 Air Lease and Autohellas into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Air Lease and Autohellas SA, you can compare the effects of market volatilities on Air Lease and Autohellas 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 Air Lease with a short position of Autohellas. Check out your portfolio center. Please also check ongoing floating volatility patterns of Air Lease and Autohellas.
Diversification Opportunities for Air Lease and Autohellas
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Air and Autohellas is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Air Lease and Autohellas SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Autohellas SA and Air Lease 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 Air Lease are associated (or correlated) with Autohellas. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Autohellas SA has no effect on the direction of Air Lease i.e., Air Lease and Autohellas go up and down completely randomly.
Pair Corralation between Air Lease and Autohellas
If you would invest 5,108 in Air Lease on September 3, 2024 and sell it today you would lose (18.00) from holding Air Lease or give up 0.35% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Air Lease vs. Autohellas SA
Performance |
| Timeline |
| Air Lease |
| Autohellas SA |
Air Lease and Autohellas Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Air Lease and Autohellas
The main advantage of trading using opposite Air Lease and Autohellas positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Air Lease position performs unexpectedly, Autohellas 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 Autohellas will offset losses from the drop in Autohellas' long position.| Air Lease vs. Alta Equipment Group | Air Lease vs. McGrath RentCorp | Air Lease vs. Herc Holdings | Air Lease vs. HE Equipment Services |
| Autohellas vs. U Haul Holding | Autohellas vs. Ryder System | Autohellas vs. McGrath RentCorp | Autohellas vs. Air Lease |
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.
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