Correlation Between Xtrackers ShortDAX and SSgA SPDR
Specify exactly 2 symbols:
By analyzing existing cross correlation between Xtrackers ShortDAX and SSgA SPDR SP, you can compare the effects of market volatilities on Xtrackers ShortDAX and SSgA SPDR 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 Xtrackers ShortDAX with a short position of SSgA SPDR. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xtrackers ShortDAX and SSgA SPDR.
Diversification Opportunities for Xtrackers ShortDAX and SSgA SPDR
-0.54 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Xtrackers and SSgA is -0.54. Overlapping area represents the amount of risk that can be diversified away by holding Xtrackers ShortDAX and SSgA SPDR SP in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SSgA SPDR SP and Xtrackers ShortDAX 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 Xtrackers ShortDAX are associated (or correlated) with SSgA SPDR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SSgA SPDR SP has no effect on the direction of Xtrackers ShortDAX i.e., Xtrackers ShortDAX and SSgA SPDR go up and down completely randomly.
Pair Corralation between Xtrackers ShortDAX and SSgA SPDR
Assuming the 90 days trading horizon Xtrackers ShortDAX is expected to under-perform the SSgA SPDR. But the etf apears to be less risky and, when comparing its historical volatility, Xtrackers ShortDAX is 1.14 times less risky than SSgA SPDR. The etf trades about -0.14 of its potential returns per unit of risk. The SSgA SPDR SP is currently generating about 0.09 of returns per unit of risk over similar time horizon. If you would invest 9,530 in SSgA SPDR SP on September 4, 2024 and sell it today you would earn a total of 305.00 from holding SSgA SPDR SP or generate 3.2% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Very Weak |
Accuracy | 95.45% |
Values | Daily Returns |
Xtrackers ShortDAX vs. SSgA SPDR SP
Performance |
Timeline |
Xtrackers ShortDAX |
SSgA SPDR SP |
Xtrackers ShortDAX and SSgA SPDR Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Xtrackers ShortDAX and SSgA SPDR
The main advantage of trading using opposite Xtrackers ShortDAX and SSgA SPDR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xtrackers ShortDAX position performs unexpectedly, SSgA SPDR 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 SSgA SPDR will offset losses from the drop in SSgA SPDR's long position.Xtrackers ShortDAX vs. Xtrackers II Global | Xtrackers ShortDAX vs. Xtrackers FTSE | Xtrackers ShortDAX vs. Xtrackers SP 500 | Xtrackers ShortDAX vs. Xtrackers MSCI |
SSgA SPDR vs. UBS Fund Solutions | SSgA SPDR vs. Xtrackers II | SSgA SPDR vs. Xtrackers Nikkei 225 | SSgA SPDR vs. iShares VII PLC |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
Share Portfolio Track or share privately all of your investments from the convenience of any device | |
Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |