Correlation Between Ascent Solar and SPI Energy
Can any of the company-specific risk be diversified away by investing in both Ascent Solar and SPI Energy 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 Ascent Solar and SPI Energy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ascent Solar Technologies, and SPI Energy Co, you can compare the effects of market volatilities on Ascent Solar and SPI Energy 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 Ascent Solar with a short position of SPI Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ascent Solar and SPI Energy.
Diversification Opportunities for Ascent Solar and SPI Energy
-0.38 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Ascent and SPI is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding Ascent Solar Technologies, and SPI Energy Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SPI Energy and Ascent Solar 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 Ascent Solar Technologies, are associated (or correlated) with SPI Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SPI Energy has no effect on the direction of Ascent Solar i.e., Ascent Solar and SPI Energy go up and down completely randomly.
Pair Corralation between Ascent Solar and SPI Energy
If you would invest 36.00 in SPI Energy Co on November 18, 2024 and sell it today you would earn a total of 0.00 from holding SPI Energy Co or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.76% |
| Values | Daily Returns |
Ascent Solar Technologies, vs. SPI Energy Co
Performance |
| Timeline |
| Ascent Solar Technol |
| SPI Energy |
Risk-Adjusted Performance
OK
Weak | Strong |
Ascent Solar and SPI Energy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ascent Solar and SPI Energy
The main advantage of trading using opposite Ascent Solar and SPI Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ascent Solar position performs unexpectedly, SPI Energy 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 SPI Energy will offset losses from the drop in SPI Energy's long position.| Ascent Solar vs. G III Apparel Group | Ascent Solar vs. The Coca Cola | Ascent Solar vs. Skechers USA | Ascent Solar vs. VF Corporation |
| SPI Energy vs. Ascent Solar Technologies, | SPI Energy vs. Emeren Group | SPI Energy vs. Sunrun Inc | SPI Energy vs. Sunnova Energy International |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |