Correlation Between Arrow Financial and 552953CD1
Specify exactly 2 symbols:
By analyzing existing cross correlation between Arrow Financial and MGM Resorts International, you can compare the effects of market volatilities on Arrow Financial and 552953CD1 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 Arrow Financial with a short position of 552953CD1. Check out your portfolio center. Please also check ongoing floating volatility patterns of Arrow Financial and 552953CD1.
Diversification Opportunities for Arrow Financial and 552953CD1
-0.48 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Arrow and 552953CD1 is -0.48. Overlapping area represents the amount of risk that can be diversified away by holding Arrow Financial and MGM Resorts International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MGM Resorts International and Arrow Financial 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 Arrow Financial are associated (or correlated) with 552953CD1. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MGM Resorts International has no effect on the direction of Arrow Financial i.e., Arrow Financial and 552953CD1 go up and down completely randomly.
Pair Corralation between Arrow Financial and 552953CD1
Given the investment horizon of 90 days Arrow Financial is expected to generate 4.96 times more return on investment than 552953CD1. However, Arrow Financial is 4.96 times more volatile than MGM Resorts International. It trades about 0.11 of its potential returns per unit of risk. MGM Resorts International is currently generating about -0.04 per unit of risk. If you would invest 2,374 in Arrow Financial on September 12, 2024 and sell it today you would earn a total of 822.00 from holding Arrow Financial or generate 34.63% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 96.8% |
| Values | Daily Returns |
Arrow Financial vs. MGM Resorts International
Performance |
| Timeline |
| Arrow Financial |
| MGM Resorts International |
Arrow Financial and 552953CD1 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Arrow Financial and 552953CD1
The main advantage of trading using opposite Arrow Financial and 552953CD1 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Arrow Financial position performs unexpectedly, 552953CD1 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 552953CD1 will offset losses from the drop in 552953CD1's long position.| Arrow Financial vs. Heritage Commerce Corp | Arrow Financial vs. Westamerica Bancorporation | Arrow Financial vs. Heritage Financial | Arrow Financial vs. National Bankshares |
| 552953CD1 vs. LENSAR Inc | 552953CD1 vs. Arrow Financial | 552953CD1 vs. Tandem Diabetes Care | 552953CD1 vs. BW Offshore Limited |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
| Stocks Directory Find actively traded stocks across global markets | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |