Correlation Between Amundi Index and UBSFund Solutions
Can any of the company-specific risk be diversified away by investing in both Amundi Index and UBSFund Solutions 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 Amundi Index and UBSFund Solutions into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Amundi Index Solutions and UBSFund Solutions MSCI, you can compare the effects of market volatilities on Amundi Index and UBSFund Solutions 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 Amundi Index with a short position of UBSFund Solutions. Check out your portfolio center. Please also check ongoing floating volatility patterns of Amundi Index and UBSFund Solutions.
Diversification Opportunities for Amundi Index and UBSFund Solutions
-0.46 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Amundi and UBSFund is -0.46. Overlapping area represents the amount of risk that can be diversified away by holding Amundi Index Solutions and UBSFund Solutions MSCI in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on UBSFund Solutions MSCI and Amundi Index 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 Amundi Index Solutions are associated (or correlated) with UBSFund Solutions. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of UBSFund Solutions MSCI has no effect on the direction of Amundi Index i.e., Amundi Index and UBSFund Solutions go up and down completely randomly.
Pair Corralation between Amundi Index and UBSFund Solutions
Assuming the 90 days trading horizon Amundi Index Solutions is expected to under-perform the UBSFund Solutions. In addition to that, Amundi Index is 1.04 times more volatile than UBSFund Solutions MSCI. It trades about -0.03 of its total potential returns per unit of risk. UBSFund Solutions MSCI is currently generating about 0.03 per unit of volatility. If you would invest 4,140 in UBSFund Solutions MSCI on September 24, 2024 and sell it today you would earn a total of 658.00 from holding UBSFund Solutions MSCI or generate 15.89% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 97.39% |
| Values | Daily Returns |
Amundi Index Solutions vs. UBSFund Solutions MSCI
Performance |
| Timeline |
| Amundi Index Solutions |
| UBSFund Solutions MSCI |
Amundi Index and UBSFund Solutions Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Amundi Index and UBSFund Solutions
The main advantage of trading using opposite Amundi Index and UBSFund Solutions positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Amundi Index position performs unexpectedly, UBSFund Solutions 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 UBSFund Solutions will offset losses from the drop in UBSFund Solutions' long position.| Amundi Index vs. UBSFund Solutions MSCI | Amundi Index vs. Vanguard SP 500 | Amundi Index vs. iShares VII PLC | Amundi Index vs. iShares Core SP |
| UBSFund Solutions vs. Vanguard SP 500 | UBSFund Solutions vs. iShares VII PLC | UBSFund Solutions vs. iShares Core SP | UBSFund Solutions vs. Lyxor Japan UCITS |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |