Correlation Between Athene Holding and Athene Holding
Can any of the company-specific risk be diversified away by investing in both Athene Holding and Athene Holding 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 Athene Holding and Athene Holding into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Athene Holding and Athene Holding, you can compare the effects of market volatilities on Athene Holding and Athene Holding 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 Athene Holding with a short position of Athene Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Athene Holding and Athene Holding.
Diversification Opportunities for Athene Holding and Athene Holding
0.84 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Athene and Athene is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding Athene Holding and Athene Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Athene Holding and Athene Holding 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 Athene Holding are associated (or correlated) with Athene Holding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Athene Holding has no effect on the direction of Athene Holding i.e., Athene Holding and Athene Holding go up and down completely randomly.
Pair Corralation between Athene Holding and Athene Holding
Assuming the 90 days trading horizon Athene Holding is expected to generate 1.04 times more return on investment than Athene Holding. However, Athene Holding is 1.04 times more volatile than Athene Holding. It trades about 0.04 of its potential returns per unit of risk. Athene Holding is currently generating about 0.03 per unit of risk. If you would invest 2,273 in Athene Holding on August 27, 2024 and sell it today you would earn a total of 437.00 from holding Athene Holding or generate 19.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Athene Holding vs. Athene Holding
Performance |
| Timeline |
| Athene Holding |
| Athene Holding |
Athene Holding and Athene Holding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Athene Holding and Athene Holding
The main advantage of trading using opposite Athene Holding and Athene Holding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Athene Holding position performs unexpectedly, Athene Holding 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 Athene Holding will offset losses from the drop in Athene Holding's long position.| Athene Holding vs. Nyxoah | Athene Holding vs. Microbot Medical | Athene Holding vs. Mativ Holdings | Athene Holding vs. Postal Realty Trust |
| Athene Holding vs. Athene Holding | Athene Holding vs. Athene Holding | Athene Holding vs. Athene Holding | Athene Holding vs. Argo Group 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 Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
Other Complementary Tools
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Global Correlations Find global opportunities by holding instruments from different markets |