Correlation Between Astar and 25160PAE7
Specify exactly 2 symbols:
By analyzing existing cross correlation between Astar and DEUTSCHE BK AG, you can compare the effects of market volatilities on Astar and 25160PAE7 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 Astar with a short position of 25160PAE7. Check out your portfolio center. Please also check ongoing floating volatility patterns of Astar and 25160PAE7.
Diversification Opportunities for Astar and 25160PAE7
Very good diversification
The 3 months correlation between Astar and 25160PAE7 is -0.34. Overlapping area represents the amount of risk that can be diversified away by holding Astar and DEUTSCHE BK AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on DEUTSCHE BK AG and Astar 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 Astar are associated (or correlated) with 25160PAE7. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DEUTSCHE BK AG has no effect on the direction of Astar i.e., Astar and 25160PAE7 go up and down completely randomly.
Pair Corralation between Astar and 25160PAE7
Assuming the 90 days trading horizon Astar is expected to under-perform the 25160PAE7. In addition to that, Astar is 9.03 times more volatile than DEUTSCHE BK AG. It trades about -0.13 of its total potential returns per unit of risk. DEUTSCHE BK AG is currently generating about -0.13 per unit of volatility. If you would invest 10,055 in DEUTSCHE BK AG on October 28, 2024 and sell it today you would lose (213.00) from holding DEUTSCHE BK AG or give up 2.12% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 58.14% |
| Values | Daily Returns |
Astar vs. DEUTSCHE BK AG
Performance |
| Timeline |
| Astar |
| DEUTSCHE BK AG |
Astar and 25160PAE7 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Astar and 25160PAE7
The main advantage of trading using opposite Astar and 25160PAE7 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Astar position performs unexpectedly, 25160PAE7 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 25160PAE7 will offset losses from the drop in 25160PAE7's long position.The idea behind Astar and DEUTSCHE BK AG pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| 25160PAE7 vs. Kuya Silver | 25160PAE7 vs. Freedom Holding Corp | 25160PAE7 vs. Hudson Acquisition I | 25160PAE7 vs. Vindicator Silver Lead Mining |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |