Correlation Between Eagle Bulk and Navios Maritime
Can any of the company-specific risk be diversified away by investing in both Eagle Bulk and Navios Maritime 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 Eagle Bulk and Navios Maritime into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eagle Bulk Shipping and Navios Maritime Partners, you can compare the effects of market volatilities on Eagle Bulk and Navios Maritime 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 Eagle Bulk with a short position of Navios Maritime. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eagle Bulk and Navios Maritime.
Diversification Opportunities for Eagle Bulk and Navios Maritime
-0.49 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Eagle and Navios is -0.49. Overlapping area represents the amount of risk that can be diversified away by holding Eagle Bulk Shipping and Navios Maritime Partners in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Navios Maritime Partners and Eagle Bulk 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 Eagle Bulk Shipping are associated (or correlated) with Navios Maritime. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Navios Maritime Partners has no effect on the direction of Eagle Bulk i.e., Eagle Bulk and Navios Maritime go up and down completely randomly.
Pair Corralation between Eagle Bulk and Navios Maritime
If you would invest 4,350 in Eagle Bulk Shipping on August 26, 2024 and sell it today you would earn a total of 0.00 from holding Eagle Bulk Shipping or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 2.27% |
| Values | Daily Returns |
Eagle Bulk Shipping vs. Navios Maritime Partners
Performance |
| Timeline |
| Eagle Bulk Shipping |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Navios Maritime Partners |
Eagle Bulk and Navios Maritime Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eagle Bulk and Navios Maritime
The main advantage of trading using opposite Eagle Bulk and Navios Maritime positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eagle Bulk position performs unexpectedly, Navios Maritime 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 Navios Maritime will offset losses from the drop in Navios Maritime's long position.| Eagle Bulk vs. Star Bulk Carriers | Eagle Bulk vs. Golden Ocean Group | Eagle Bulk vs. Global Ship Lease | Eagle Bulk vs. Diana Shipping |
| Navios Maritime vs. Global Ship Lease | Navios Maritime vs. Costamare | Navios Maritime vs. Genco Shipping Trading | Navios Maritime vs. Danaos |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |