Correlation Between CACI International and Chindata Group
Can any of the company-specific risk be diversified away by investing in both CACI International and Chindata Group 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 CACI International and Chindata Group into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CACI International and Chindata Group Holdings, you can compare the effects of market volatilities on CACI International and Chindata Group 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 CACI International with a short position of Chindata Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of CACI International and Chindata Group.
Diversification Opportunities for CACI International and Chindata Group
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between CACI and Chindata is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding CACI International and Chindata Group Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Chindata Group Holdings and CACI International 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 CACI International are associated (or correlated) with Chindata Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chindata Group Holdings has no effect on the direction of CACI International i.e., CACI International and Chindata Group go up and down completely randomly.
Pair Corralation between CACI International and Chindata Group
If you would invest 30,135 in CACI International on December 23, 2024 and sell it today you would earn a total of 6,477 from holding CACI International or generate 21.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
CACI International vs. Chindata Group Holdings
Performance |
| Timeline |
| CACI International |
| Chindata Group Holdings |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
CACI International and Chindata Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CACI International and Chindata Group
The main advantage of trading using opposite CACI International and Chindata Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CACI International position performs unexpectedly, Chindata Group 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 Chindata Group will offset losses from the drop in Chindata Group's long position.| CACI International vs. Leidos Holdings | CACI International vs. Parsons Corp | CACI International vs. ASGN Inc | CACI International vs. ExlService Holdings |
| Chindata Group vs. GDS Holdings | Chindata Group vs. ExlService Holdings | Chindata Group vs. Gartner | Chindata Group vs. VNET Group DRC |
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 Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Other Complementary Tools
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas |