Correlation Between CF Acquisition and Blackstone
Can any of the company-specific risk be diversified away by investing in both CF Acquisition and Blackstone 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 CF Acquisition and Blackstone into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CF Acquisition VII and Blackstone Group, you can compare the effects of market volatilities on CF Acquisition and Blackstone 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 CF Acquisition with a short position of Blackstone. Check out your portfolio center. Please also check ongoing floating volatility patterns of CF Acquisition and Blackstone.
Diversification Opportunities for CF Acquisition and Blackstone
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between CFFS and Blackstone is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding CF Acquisition VII and Blackstone Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Blackstone Group and CF Acquisition 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 CF Acquisition VII are associated (or correlated) with Blackstone. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Blackstone Group has no effect on the direction of CF Acquisition i.e., CF Acquisition and Blackstone go up and down completely randomly.
Pair Corralation between CF Acquisition and Blackstone
If you would invest (100.00) in CF Acquisition VII on November 28, 2024 and sell it today you would earn a total of 100.00 from holding CF Acquisition VII or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
CF Acquisition VII vs. Blackstone Group
Performance |
| Timeline |
| CF Acquisition VII |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
| Blackstone Group |
CF Acquisition and Blackstone Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CF Acquisition and Blackstone
The main advantage of trading using opposite CF Acquisition and Blackstone positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CF Acquisition position performs unexpectedly, Blackstone 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 Blackstone will offset losses from the drop in Blackstone's long position.The idea behind CF Acquisition VII and Blackstone Group pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| Blackstone vs. T Rowe Price | Blackstone vs. State Street Corp | Blackstone vs. KKR Co LP | Blackstone vs. Brookfield Asset Management |
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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |