Correlation Between Vita Coco and AMGEN
Specify exactly 2 symbols:
By analyzing existing cross correlation between Vita Coco and AMGEN INC 64, you can compare the effects of market volatilities on Vita Coco and AMGEN 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 Vita Coco with a short position of AMGEN. Check out your portfolio center. Please also check ongoing floating volatility patterns of Vita Coco and AMGEN.
Diversification Opportunities for Vita Coco and AMGEN
Excellent diversification
The 3 months correlation between Vita and AMGEN is -0.69. Overlapping area represents the amount of risk that can be diversified away by holding Vita Coco and AMGEN INC 64 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AMGEN INC 64 and Vita Coco 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 Vita Coco are associated (or correlated) with AMGEN. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AMGEN INC 64 has no effect on the direction of Vita Coco i.e., Vita Coco and AMGEN go up and down completely randomly.
Pair Corralation between Vita Coco and AMGEN
Given the investment horizon of 90 days Vita Coco is expected to under-perform the AMGEN. But the stock apears to be less risky and, when comparing its historical volatility, Vita Coco is 1.13 times less risky than AMGEN. The stock trades about -0.09 of its potential returns per unit of risk. The AMGEN INC 64 is currently generating about 0.27 of returns per unit of risk over similar time horizon. If you would invest 10,437 in AMGEN INC 64 on October 20, 2024 and sell it today you would earn a total of 652.00 from holding AMGEN INC 64 or generate 6.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 65.0% |
| Values | Daily Returns |
Vita Coco vs. AMGEN INC 64
Performance |
| Timeline |
| Vita Coco |
| AMGEN INC 64 |
Vita Coco and AMGEN Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Vita Coco and AMGEN
The main advantage of trading using opposite Vita Coco and AMGEN positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Vita Coco position performs unexpectedly, AMGEN 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 AMGEN will offset losses from the drop in AMGEN's long position.| Vita Coco vs. Coca Cola Femsa SAB | Vita Coco vs. Coca Cola European Partners | Vita Coco vs. Embotelladora Andina SA | Vita Coco vs. Monster Beverage Corp |
| AMGEN vs. AMCON Distributing | AMGEN vs. Marfrig Global Foods | AMGEN vs. Bridgford Foods | AMGEN vs. Vital Farms |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |