Correlation Between Aqr Managed and Allianzgi Nfj
Can any of the company-specific risk be diversified away by investing in both Aqr Managed and Allianzgi Nfj 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 Aqr Managed and Allianzgi Nfj into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aqr Managed Futures and Allianzgi Nfj International, you can compare the effects of market volatilities on Aqr Managed and Allianzgi Nfj 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 Aqr Managed with a short position of Allianzgi Nfj. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aqr Managed and Allianzgi Nfj.
Diversification Opportunities for Aqr Managed and Allianzgi Nfj
-0.68 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Aqr and Allianzgi is -0.68. Overlapping area represents the amount of risk that can be diversified away by holding Aqr Managed Futures and Allianzgi Nfj International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Allianzgi Nfj Intern and Aqr Managed 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 Aqr Managed Futures are associated (or correlated) with Allianzgi Nfj. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Allianzgi Nfj Intern has no effect on the direction of Aqr Managed i.e., Aqr Managed and Allianzgi Nfj go up and down completely randomly.
Pair Corralation between Aqr Managed and Allianzgi Nfj
Assuming the 90 days horizon Aqr Managed Futures is expected to generate 0.59 times more return on investment than Allianzgi Nfj. However, Aqr Managed Futures is 1.69 times less risky than Allianzgi Nfj. It trades about 0.14 of its potential returns per unit of risk. Allianzgi Nfj International is currently generating about 0.08 per unit of risk. If you would invest 772.00 in Aqr Managed Futures on November 3, 2024 and sell it today you would earn a total of 75.00 from holding Aqr Managed Futures or generate 9.72% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Aqr Managed Futures vs. Allianzgi Nfj International
Performance |
| Timeline |
| Aqr Managed Futures |
| Allianzgi Nfj Intern |
Aqr Managed and Allianzgi Nfj Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aqr Managed and Allianzgi Nfj
The main advantage of trading using opposite Aqr Managed and Allianzgi Nfj positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aqr Managed position performs unexpectedly, Allianzgi Nfj 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 Allianzgi Nfj will offset losses from the drop in Allianzgi Nfj's long position.| Aqr Managed vs. Dws Global Macro | Aqr Managed vs. Barings Global Floating | Aqr Managed vs. Ms Global Fixed | Aqr Managed vs. Mirova Global Green |
| Allianzgi Nfj vs. Lind Capital Partners | Allianzgi Nfj vs. Jpmorgan Ultra Short Municipal | Allianzgi Nfj vs. Goldman Sachs Short | Allianzgi Nfj vs. Intermediate Term Tax Free Bond |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
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