Correlation Between American Express and WEYERHAEUSER
Specify exactly 2 symbols:
By analyzing existing cross correlation between American Express and WEYERHAEUSER 6875 percent, you can compare the effects of market volatilities on American Express and WEYERHAEUSER 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 American Express with a short position of WEYERHAEUSER. Check out your portfolio center. Please also check ongoing floating volatility patterns of American Express and WEYERHAEUSER.
Diversification Opportunities for American Express and WEYERHAEUSER
-0.55 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between American and WEYERHAEUSER is -0.55. Overlapping area represents the amount of risk that can be diversified away by holding American Express and WEYERHAEUSER 6875 percent in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on WEYERHAEUSER 6875 percent and American Express 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 American Express are associated (or correlated) with WEYERHAEUSER. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of WEYERHAEUSER 6875 percent has no effect on the direction of American Express i.e., American Express and WEYERHAEUSER go up and down completely randomly.
Pair Corralation between American Express and WEYERHAEUSER
Considering the 90-day investment horizon American Express is expected to generate 1.03 times more return on investment than WEYERHAEUSER. However, American Express is 1.03 times more volatile than WEYERHAEUSER 6875 percent. It trades about 0.14 of its potential returns per unit of risk. WEYERHAEUSER 6875 percent is currently generating about 0.02 per unit of risk. If you would invest 23,338 in American Express on September 3, 2024 and sell it today you would earn a total of 7,130 from holding American Express or generate 30.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 82.4% |
| Values | Daily Returns |
American Express vs. WEYERHAEUSER 6875 percent
Performance |
| Timeline |
| American Express |
| WEYERHAEUSER 6875 percent |
American Express and WEYERHAEUSER Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with American Express and WEYERHAEUSER
The main advantage of trading using opposite American Express and WEYERHAEUSER positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if American Express position performs unexpectedly, WEYERHAEUSER 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 WEYERHAEUSER will offset losses from the drop in WEYERHAEUSER's long position.| American Express vs. Highway Holdings Limited | American Express vs. QCR Holdings | American Express vs. Partner Communications | American Express vs. Acumen Pharmaceuticals |
| WEYERHAEUSER vs. The Travelers Companies | WEYERHAEUSER vs. GE Aerospace | WEYERHAEUSER vs. Walmart | WEYERHAEUSER vs. Pfizer Inc |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities |