Correlation Between Anterix and Marine Products
Can any of the company-specific risk be diversified away by investing in both Anterix and Marine Products 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 Anterix and Marine Products into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Anterix and Marine Products, you can compare the effects of market volatilities on Anterix and Marine Products 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 Anterix with a short position of Marine Products. Check out your portfolio center. Please also check ongoing floating volatility patterns of Anterix and Marine Products.
Diversification Opportunities for Anterix and Marine Products
-0.29 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Anterix and Marine is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding Anterix and Marine Products in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Marine Products and Anterix 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 Anterix are associated (or correlated) with Marine Products. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Marine Products has no effect on the direction of Anterix i.e., Anterix and Marine Products go up and down completely randomly.
Pair Corralation between Anterix and Marine Products
Given the investment horizon of 90 days Anterix is expected to generate 1.4 times more return on investment than Marine Products. However, Anterix is 1.4 times more volatile than Marine Products. It trades about 0.14 of its potential returns per unit of risk. Marine Products is currently generating about 0.18 per unit of risk. If you would invest 3,248 in Anterix on September 1, 2024 and sell it today you would earn a total of 222.00 from holding Anterix or generate 6.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Anterix vs. Marine Products
Performance |
| Timeline |
| Anterix |
| Marine Products |
Anterix and Marine Products Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Anterix and Marine Products
The main advantage of trading using opposite Anterix and Marine Products positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Anterix position performs unexpectedly, Marine Products 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 Marine Products will offset losses from the drop in Marine Products' long position.| Anterix vs. Shenandoah Telecommunications Co | Anterix vs. Liberty Broadband Corp | Anterix vs. Ooma Inc | Anterix vs. IDT Corporation |
| Marine Products vs. LCI Industries | Marine Products vs. MCBC Holdings | Marine Products vs. Winnebago Industries | Marine Products vs. Thor Industries |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |