Correlation Between Pesquera Exalmar and Luz Del
Specify exactly 2 symbols:
By analyzing existing cross correlation between Pesquera Exalmar SAA and Luz del Sur, you can compare the effects of market volatilities on Pesquera Exalmar and Luz Del 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 Pesquera Exalmar with a short position of Luz Del. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pesquera Exalmar and Luz Del.
Diversification Opportunities for Pesquera Exalmar and Luz Del
-0.35 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Pesquera and Luz is -0.35. Overlapping area represents the amount of risk that can be diversified away by holding Pesquera Exalmar SAA and Luz del Sur in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Luz del Sur and Pesquera Exalmar 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 Pesquera Exalmar SAA are associated (or correlated) with Luz Del. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Luz del Sur has no effect on the direction of Pesquera Exalmar i.e., Pesquera Exalmar and Luz Del go up and down completely randomly.
Pair Corralation between Pesquera Exalmar and Luz Del
Assuming the 90 days trading horizon Pesquera Exalmar SAA is expected to generate 1.86 times more return on investment than Luz Del. However, Pesquera Exalmar is 1.86 times more volatile than Luz del Sur. It trades about 0.13 of its potential returns per unit of risk. Luz del Sur is currently generating about 0.04 per unit of risk. If you would invest 186.00 in Pesquera Exalmar SAA on August 31, 2024 and sell it today you would earn a total of 64.00 from holding Pesquera Exalmar SAA or generate 34.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 35.6% |
| Values | Daily Returns |
Pesquera Exalmar SAA vs. Luz del Sur
Performance |
| Timeline |
| Pesquera Exalmar SAA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Solid
| Luz del Sur |
Pesquera Exalmar and Luz Del Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pesquera Exalmar and Luz Del
The main advantage of trading using opposite Pesquera Exalmar and Luz Del positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pesquera Exalmar position performs unexpectedly, Luz Del 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 Luz Del will offset losses from the drop in Luz Del's long position.| Pesquera Exalmar vs. Corporacion Aceros Arequipa | Pesquera Exalmar vs. Nexa Resources Peru | Pesquera Exalmar vs. Citigroup | Pesquera Exalmar vs. Union Andina de |
| Luz Del vs. Corporacion Aceros Arequipa | Luz Del vs. Nexa Resources Peru | Luz Del vs. Citigroup | Luz Del vs. Union Andina de |
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 Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |