Correlation Between AfricaRhodium ETF and FNB ETN
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By analyzing existing cross correlation between AfricaRhodium ETF and FNB ETN JPMORGQ, you can compare the effects of market volatilities on AfricaRhodium ETF and FNB ETN 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 AfricaRhodium ETF with a short position of FNB ETN. Check out your portfolio center. Please also check ongoing floating volatility patterns of AfricaRhodium ETF and FNB ETN.
Diversification Opportunities for AfricaRhodium ETF and FNB ETN
0.13 | Correlation Coefficient |
Average diversification
The 3 months correlation between AfricaRhodium and FNB is 0.13. Overlapping area represents the amount of risk that can be diversified away by holding AfricaRhodium ETF and FNB ETN JPMORGQ in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FNB ETN JPMORGQ and AfricaRhodium ETF 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 AfricaRhodium ETF are associated (or correlated) with FNB ETN. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FNB ETN JPMORGQ has no effect on the direction of AfricaRhodium ETF i.e., AfricaRhodium ETF and FNB ETN go up and down completely randomly.
Pair Corralation between AfricaRhodium ETF and FNB ETN
Assuming the 90 days trading horizon AfricaRhodium ETF is expected to generate 105.27 times less return on investment than FNB ETN. In addition to that, AfricaRhodium ETF is 1.25 times more volatile than FNB ETN JPMORGQ. It trades about 0.0 of its total potential returns per unit of risk. FNB ETN JPMORGQ is currently generating about 0.21 per unit of volatility. If you would invest 208,700 in FNB ETN JPMORGQ on August 31, 2024 and sell it today you would earn a total of 57,000 from holding FNB ETN JPMORGQ or generate 27.31% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 51.18% |
| Values | Daily Returns |
AfricaRhodium ETF vs. FNB ETN JPMORGQ
Performance |
| Timeline |
| AfricaRhodium ETF |
| FNB ETN JPMORGQ |
AfricaRhodium ETF and FNB ETN Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AfricaRhodium ETF and FNB ETN
The main advantage of trading using opposite AfricaRhodium ETF and FNB ETN positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AfricaRhodium ETF position performs unexpectedly, FNB ETN 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 FNB ETN will offset losses from the drop in FNB ETN's long position.| AfricaRhodium ETF vs. FNB ETN on | AfricaRhodium ETF vs. Satrix MSCI World | AfricaRhodium ETF vs. Satrix Swix Top | AfricaRhodium ETF vs. Satrix 40 ETF |
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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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
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