Correlation Between Citigroup and SP Merval
Can any of the company-specific risk be diversified away by investing in both Citigroup and SP Merval 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 Citigroup and SP Merval into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Citigroup and SP Merval, you can compare the effects of market volatilities on Citigroup and SP Merval 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 Citigroup with a short position of SP Merval. Check out your portfolio center. Please also check ongoing floating volatility patterns of Citigroup and SP Merval.
Diversification Opportunities for Citigroup and SP Merval
Pay attention - limited upside
The 3 months correlation between Citigroup and MERV is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Citigroup and SP Merval in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SP Merval and Citigroup 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 Citigroup are associated (or correlated) with SP Merval. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SP Merval has no effect on the direction of Citigroup i.e., Citigroup and SP Merval go up and down completely randomly.
Pair Corralation between Citigroup and SP Merval
If you would invest 6,361 in Citigroup on September 1, 2024 and sell it today you would earn a total of 726.00 from holding Citigroup or generate 11.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Citigroup vs. SP Merval
Performance |
| Timeline |
Citigroup and SP Merval Volatility Contrast
Predicted Return Density |
| Returns |
Citigroup
Pair trading matchups for Citigroup
SP Merval
Pair trading matchups for SP Merval
Pair Trading with Citigroup and SP Merval
The main advantage of trading using opposite Citigroup and SP Merval positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Citigroup position performs unexpectedly, SP Merval 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 SP Merval will offset losses from the drop in SP Merval's long position.| Citigroup vs. JPMorgan Chase Co | Citigroup vs. Wells Fargo | Citigroup vs. Toronto Dominion Bank | Citigroup vs. Nu Holdings |
| SP Merval vs. Telecom Argentina | SP Merval vs. Compania de Transporte | SP Merval vs. Agrometal SAI | SP Merval vs. Transportadora de Gas |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |