Correlation Between BTG Pactual and Jbfo Fof
Can any of the company-specific risk be diversified away by investing in both BTG Pactual and Jbfo Fof 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 BTG Pactual and Jbfo Fof into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BTG Pactual Logstica and Jbfo Fof Fundo, you can compare the effects of market volatilities on BTG Pactual and Jbfo Fof 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 BTG Pactual with a short position of Jbfo Fof. Check out your portfolio center. Please also check ongoing floating volatility patterns of BTG Pactual and Jbfo Fof.
Diversification Opportunities for BTG Pactual and Jbfo Fof
-0.24 | Correlation Coefficient |
Very good diversification
The 3 months correlation between BTG and Jbfo is -0.24. Overlapping area represents the amount of risk that can be diversified away by holding BTG Pactual Logstica and Jbfo Fof Fundo in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jbfo Fof Fundo and BTG Pactual 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 BTG Pactual Logstica are associated (or correlated) with Jbfo Fof. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jbfo Fof Fundo has no effect on the direction of BTG Pactual i.e., BTG Pactual and Jbfo Fof go up and down completely randomly.
Pair Corralation between BTG Pactual and Jbfo Fof
Assuming the 90 days trading horizon BTG Pactual Logstica is expected to under-perform the Jbfo Fof. But the fund apears to be less risky and, when comparing its historical volatility, BTG Pactual Logstica is 2.0 times less risky than Jbfo Fof. The fund trades about -0.13 of its potential returns per unit of risk. The Jbfo Fof Fundo is currently generating about 0.22 of returns per unit of risk over similar time horizon. If you would invest 7,028 in Jbfo Fof Fundo on September 14, 2024 and sell it today you would earn a total of 1,173 from holding Jbfo Fof Fundo or generate 16.69% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
BTG Pactual Logstica vs. Jbfo Fof Fundo
Performance |
| Timeline |
| BTG Pactual Logstica |
| Jbfo Fof Fundo |
BTG Pactual and Jbfo Fof Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BTG Pactual and Jbfo Fof
The main advantage of trading using opposite BTG Pactual and Jbfo Fof positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BTG Pactual position performs unexpectedly, Jbfo Fof 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 Jbfo Fof will offset losses from the drop in Jbfo Fof's long position.| BTG Pactual vs. Fundo Investimento Imobiliario | BTG Pactual vs. KILIMA VOLKANO RECEBVEIS | BTG Pactual vs. DEVANT PROPERTIES FUNDO | BTG Pactual vs. SPARTA FIAGRO FDO |
| Jbfo Fof vs. BTG Pactual Logstica | Jbfo Fof vs. Plano Plano Desenvolvimento | Jbfo Fof vs. Companhia Habitasul de | Jbfo Fof vs. FDO INV IMOB |
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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
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