Correlation Between Ameritrust Corp and AGBA Acquisition
Can any of the company-specific risk be diversified away by investing in both Ameritrust Corp and AGBA Acquisition 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 Ameritrust Corp and AGBA Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ameritrust Corp and AGBA Acquisition Limited, you can compare the effects of market volatilities on Ameritrust Corp and AGBA Acquisition 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 Ameritrust Corp with a short position of AGBA Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ameritrust Corp and AGBA Acquisition.
Diversification Opportunities for Ameritrust Corp and AGBA Acquisition
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Ameritrust and AGBA is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Ameritrust Corp and AGBA Acquisition Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AGBA Acquisition and Ameritrust Corp 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 Ameritrust Corp are associated (or correlated) with AGBA Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AGBA Acquisition has no effect on the direction of Ameritrust Corp i.e., Ameritrust Corp and AGBA Acquisition go up and down completely randomly.
Pair Corralation between Ameritrust Corp and AGBA Acquisition
Given the investment horizon of 90 days Ameritrust Corp is expected to under-perform the AGBA Acquisition. But the pink sheet apears to be less risky and, when comparing its historical volatility, Ameritrust Corp is 9.49 times less risky than AGBA Acquisition. The pink sheet trades about -0.01 of its potential returns per unit of risk. The AGBA Acquisition Limited is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 9.45 in AGBA Acquisition Limited on August 29, 2024 and sell it today you would earn a total of 11.55 from holding AGBA Acquisition Limited or generate 122.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 72.53% |
| Values | Daily Returns |
Ameritrust Corp vs. AGBA Acquisition Limited
Performance |
| Timeline |
| Ameritrust Corp |
| AGBA Acquisition |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Ameritrust Corp and AGBA Acquisition Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ameritrust Corp and AGBA Acquisition
The main advantage of trading using opposite Ameritrust Corp and AGBA Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ameritrust Corp position performs unexpectedly, AGBA Acquisition 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 AGBA Acquisition will offset losses from the drop in AGBA Acquisition's long position.| Ameritrust Corp vs. Morgan Stanley | Ameritrust Corp vs. Goldman Sachs Group | Ameritrust Corp vs. Charles Schwab Corp | Ameritrust Corp vs. Interactive Brokers Group |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| 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 | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |