Correlation Between Angel Oak and Angel Oak
Can any of the company-specific risk be diversified away by investing in both Angel Oak and Angel Oak 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 Angel Oak and Angel Oak into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Angel Oak Ultrashort and Angel Oak Multi Strategy, you can compare the effects of market volatilities on Angel Oak and Angel Oak 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 Angel Oak with a short position of Angel Oak. Check out your portfolio center. Please also check ongoing floating volatility patterns of Angel Oak and Angel Oak.
Diversification Opportunities for Angel Oak and Angel Oak
Excellent diversification
The 3 months correlation between Angel and Angel is -0.66. Overlapping area represents the amount of risk that can be diversified away by holding Angel Oak Ultrashort and Angel Oak Multi Strategy in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Angel Oak Multi and Angel Oak 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 Angel Oak Ultrashort are associated (or correlated) with Angel Oak. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Angel Oak Multi has no effect on the direction of Angel Oak i.e., Angel Oak and Angel Oak go up and down completely randomly.
Pair Corralation between Angel Oak and Angel Oak
Assuming the 90 days horizon Angel Oak is expected to generate 1.03 times less return on investment than Angel Oak. But when comparing it to its historical volatility, Angel Oak Ultrashort is 1.93 times less risky than Angel Oak. It trades about 0.25 of its potential returns per unit of risk. Angel Oak Multi Strategy is currently generating about 0.14 of returns per unit of risk over similar time horizon. If you would invest 776.00 in Angel Oak Multi Strategy on September 2, 2024 and sell it today you would earn a total of 82.00 from holding Angel Oak Multi Strategy or generate 10.57% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Angel Oak Ultrashort vs. Angel Oak Multi Strategy
Performance |
| Timeline |
| Angel Oak Ultrashort |
| Angel Oak Multi |
Angel Oak and Angel Oak Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Angel Oak and Angel Oak
The main advantage of trading using opposite Angel Oak and Angel Oak positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Angel Oak position performs unexpectedly, Angel Oak 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 Angel Oak will offset losses from the drop in Angel Oak's long position.| Angel Oak vs. Health Biotchnology Portfolio | Angel Oak vs. Blackrock Health Sciences | Angel Oak vs. Highland Longshort Healthcare | Angel Oak vs. Allianzgi Health Sciences |
| Angel Oak vs. Calvert Developed Market | Angel Oak vs. Origin Emerging Markets | Angel Oak vs. Aqr Sustainable Long Short | Angel Oak vs. Vanguard Developed Markets |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
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