Correlation Between ANTA SPORTS and G III
Can any of the company-specific risk be diversified away by investing in both ANTA SPORTS and G III 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 G III 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 G III Apparel Group, you can compare the effects of market volatilities on ANTA SPORTS and G III 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 G III. Check out your portfolio center. Please also check ongoing floating volatility patterns of ANTA SPORTS and G III.
Diversification Opportunities for ANTA SPORTS and G III
-0.26 | Correlation Coefficient |
Very good diversification
The 3 months correlation between ANTA and GI4 is -0.26. Overlapping area represents the amount of risk that can be diversified away by holding ANTA SPORTS PRODUCT and G III Apparel Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on G III Apparel 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 G III. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of G III Apparel has no effect on the direction of ANTA SPORTS i.e., ANTA SPORTS and G III go up and down completely randomly.
Pair Corralation between ANTA SPORTS and G III
Assuming the 90 days trading horizon ANTA SPORTS is expected to generate 66.63 times less return on investment than G III. But when comparing it to its historical volatility, ANTA SPORTS PRODUCT is 1.03 times less risky than G III. It trades about 0.0 of its potential returns per unit of risk. G III Apparel Group is currently generating about 0.23 of returns per unit of risk over similar time horizon. If you would invest 2,880 in G III Apparel Group on September 13, 2024 and sell it today you would earn a total of 420.00 from holding G III Apparel Group or generate 14.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
ANTA SPORTS PRODUCT vs. G III Apparel Group
Performance |
| Timeline |
| ANTA SPORTS PRODUCT |
| G III Apparel |
ANTA SPORTS and G III Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ANTA SPORTS and G III
The main advantage of trading using opposite ANTA SPORTS and G III positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ANTA SPORTS position performs unexpectedly, G III 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 G III will offset losses from the drop in G III's long position.| ANTA SPORTS vs. Apple Inc | ANTA SPORTS vs. Apple Inc | ANTA SPORTS vs. Apple Inc | ANTA SPORTS vs. Apple Inc |
| G III vs. JSC Halyk bank | G III vs. Chunghwa Telecom Co | G III vs. CHIBA BANK | G III vs. BANKINTER ADR 2007 |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Complementary Tools
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device |