Correlation Between Amundi MSCI and UBSFund Solutions
Can any of the company-specific risk be diversified away by investing in both Amundi MSCI and UBSFund Solutions 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 Amundi MSCI and UBSFund Solutions into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Amundi MSCI Future and UBSFund Solutions MSCI, you can compare the effects of market volatilities on Amundi MSCI and UBSFund Solutions 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 Amundi MSCI with a short position of UBSFund Solutions. Check out your portfolio center. Please also check ongoing floating volatility patterns of Amundi MSCI and UBSFund Solutions.
Diversification Opportunities for Amundi MSCI and UBSFund Solutions
0.53 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Amundi and UBSFund is 0.53. Overlapping area represents the amount of risk that can be diversified away by holding Amundi MSCI Future and UBSFund Solutions MSCI in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on UBSFund Solutions MSCI and Amundi MSCI 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 Amundi MSCI Future are associated (or correlated) with UBSFund Solutions. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of UBSFund Solutions MSCI has no effect on the direction of Amundi MSCI i.e., Amundi MSCI and UBSFund Solutions go up and down completely randomly.
Pair Corralation between Amundi MSCI and UBSFund Solutions
Assuming the 90 days trading horizon Amundi MSCI Future is expected to under-perform the UBSFund Solutions. In addition to that, Amundi MSCI is 2.18 times more volatile than UBSFund Solutions MSCI. It trades about 0.0 of its total potential returns per unit of risk. UBSFund Solutions MSCI is currently generating about 0.19 per unit of volatility. If you would invest 4,926 in UBSFund Solutions MSCI on November 4, 2024 and sell it today you would earn a total of 140.00 from holding UBSFund Solutions MSCI or generate 2.84% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Amundi MSCI Future vs. UBSFund Solutions MSCI
Performance |
| Timeline |
| Amundi MSCI Future |
| UBSFund Solutions MSCI |
Amundi MSCI and UBSFund Solutions Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Amundi MSCI and UBSFund Solutions
The main advantage of trading using opposite Amundi MSCI and UBSFund Solutions positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Amundi MSCI position performs unexpectedly, UBSFund Solutions 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 UBSFund Solutions will offset losses from the drop in UBSFund Solutions' long position.| Amundi MSCI vs. Amundi Index Solutions | Amundi MSCI vs. Amundi Index Solutions | Amundi MSCI vs. Amundi Index Solutions | Amundi MSCI vs. Amundi Index Solutions |
| UBSFund Solutions vs. UBSFund Solutions MSCI | UBSFund Solutions vs. UBSFund Solutions Bloomberg | UBSFund Solutions vs. UBSFund Solutions MSCI | UBSFund Solutions vs. UBSFund Solutions Bloomberg |
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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
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