Correlation Between NYSE LISTED and STRATS SM
Can any of the company-specific risk be diversified away by investing in both NYSE LISTED and STRATS SM 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 NYSE LISTED and STRATS SM into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between NYSE LISTED TEST and STRATS SM Trust, you can compare the effects of market volatilities on NYSE LISTED and STRATS SM 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 NYSE LISTED with a short position of STRATS SM. Check out your portfolio center. Please also check ongoing floating volatility patterns of NYSE LISTED and STRATS SM.
Diversification Opportunities for NYSE LISTED and STRATS SM
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between NYSE and STRATS is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding NYSE LISTED TEST and STRATS SM Trust in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on STRATS SM Trust and NYSE LISTED 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 NYSE LISTED TEST are associated (or correlated) with STRATS SM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of STRATS SM Trust has no effect on the direction of NYSE LISTED i.e., NYSE LISTED and STRATS SM go up and down completely randomly.
Pair Corralation between NYSE LISTED and STRATS SM
If you would invest 2,414 in STRATS SM Trust on September 3, 2024 and sell it today you would earn a total of 85.00 from holding STRATS SM Trust or generate 3.52% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.86% |
| Values | Daily Returns |
NYSE LISTED TEST vs. STRATS SM Trust
Performance |
| Timeline |
| NYSE LISTED TEST |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| STRATS SM Trust |
NYSE LISTED and STRATS SM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with NYSE LISTED and STRATS SM
The main advantage of trading using opposite NYSE LISTED and STRATS SM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if NYSE LISTED position performs unexpectedly, STRATS SM 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 STRATS SM will offset losses from the drop in STRATS SM's long position.| NYSE LISTED vs. Strats Trust Cellular | NYSE LISTED vs. Goldman Sachs Capital | NYSE LISTED vs. Strats SM Trust | NYSE LISTED vs. STRATS SM Trust |
| STRATS SM vs. Western Asset Global | STRATS SM vs. Invesco Trust For | STRATS SM vs. Logan Ridge Finance | STRATS SM vs. Invesco Advantage MIT |
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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
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