Correlation Between Exemplar Growth and CI Global
Can any of the company-specific risk be diversified away by investing in both Exemplar Growth and CI Global 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 Exemplar Growth and CI Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Exemplar Growth and and CI Global Asset, you can compare the effects of market volatilities on Exemplar Growth and CI Global 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 Exemplar Growth with a short position of CI Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Exemplar Growth and CI Global.
Diversification Opportunities for Exemplar Growth and CI Global
0.8 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Exemplar and CGAA is 0.8. Overlapping area represents the amount of risk that can be diversified away by holding Exemplar Growth and and CI Global Asset in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CI Global Asset and Exemplar Growth 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 Exemplar Growth and are associated (or correlated) with CI Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CI Global Asset has no effect on the direction of Exemplar Growth i.e., Exemplar Growth and CI Global go up and down completely randomly.
Pair Corralation between Exemplar Growth and CI Global
Assuming the 90 days trading horizon Exemplar Growth and is expected to generate 0.3 times more return on investment than CI Global. However, Exemplar Growth and is 3.28 times less risky than CI Global. It trades about 0.1 of its potential returns per unit of risk. CI Global Asset is currently generating about 0.01 per unit of risk. If you would invest 2,253 in Exemplar Growth and on August 28, 2024 and sell it today you would earn a total of 8.00 from holding Exemplar Growth and or generate 0.36% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 95.45% |
| Values | Daily Returns |
Exemplar Growth and vs. CI Global Asset
Performance |
| Timeline |
| Exemplar Growth |
| CI Global Asset |
Exemplar Growth and CI Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Exemplar Growth and CI Global
The main advantage of trading using opposite Exemplar Growth and CI Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Exemplar Growth position performs unexpectedly, CI Global 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 CI Global will offset losses from the drop in CI Global's long position.| Exemplar Growth vs. Purpose International Dividend | Exemplar Growth vs. Purpose Premium Yield | Exemplar Growth vs. Purpose Monthly Income | Exemplar Growth vs. Purpose Total Return |
| CI Global vs. Purpose International Dividend | CI Global vs. Purpose Premium Yield | CI Global vs. Purpose Monthly Income | CI Global vs. Purpose Total Return |
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 CEOs Directory module to screen CEOs from public companies around the world.
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