Correlation Between ANTA SPORTS and ALBIS LEASING
Can any of the company-specific risk be diversified away by investing in both ANTA SPORTS and ALBIS LEASING 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 ANTA SPORTS and ALBIS LEASING into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ANTA SPORTS PRODUCT and ALBIS LEASING AG, you can compare the effects of market volatilities on ANTA SPORTS and ALBIS LEASING 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 ANTA SPORTS with a short position of ALBIS LEASING. Check out your portfolio center. Please also check ongoing floating volatility patterns of ANTA SPORTS and ALBIS LEASING.
Diversification Opportunities for ANTA SPORTS and ALBIS LEASING
0.25 | Correlation Coefficient |
Modest diversification
The 3 months correlation between ANTA and ALBIS is 0.25. Overlapping area represents the amount of risk that can be diversified away by holding ANTA SPORTS PRODUCT and ALBIS LEASING AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ALBIS LEASING AG and ANTA SPORTS 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 ANTA SPORTS PRODUCT are associated (or correlated) with ALBIS LEASING. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ALBIS LEASING AG has no effect on the direction of ANTA SPORTS i.e., ANTA SPORTS and ALBIS LEASING go up and down completely randomly.
Pair Corralation between ANTA SPORTS and ALBIS LEASING
Assuming the 90 days trading horizon ANTA SPORTS PRODUCT is expected to generate 1.64 times more return on investment than ALBIS LEASING. However, ANTA SPORTS is 1.64 times more volatile than ALBIS LEASING AG. It trades about 0.08 of its potential returns per unit of risk. ALBIS LEASING AG is currently generating about -0.08 per unit of risk. If you would invest 982.00 in ANTA SPORTS PRODUCT on October 23, 2024 and sell it today you would earn a total of 22.00 from holding ANTA SPORTS PRODUCT or generate 2.24% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
ANTA SPORTS PRODUCT vs. ALBIS LEASING AG
Performance |
| Timeline |
| ANTA SPORTS PRODUCT |
| ALBIS LEASING AG |
ANTA SPORTS and ALBIS LEASING Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ANTA SPORTS and ALBIS LEASING
The main advantage of trading using opposite ANTA SPORTS and ALBIS LEASING positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ANTA SPORTS position performs unexpectedly, ALBIS LEASING 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 ALBIS LEASING will offset losses from the drop in ALBIS LEASING's long position.| ANTA SPORTS vs. Apple Inc | ANTA SPORTS vs. Apple Inc | ANTA SPORTS vs. Apple Inc | ANTA SPORTS vs. Apple Inc |
| ALBIS LEASING vs. Wyndham Hotels Resorts | ALBIS LEASING vs. TOWNSQUARE MEDIA INC | ALBIS LEASING vs. Flutter Entertainment PLC | ALBIS LEASING vs. Sunstone Hotel Investors |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
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