Correlation Between FedEx and IShares Global
Can any of the company-specific risk be diversified away by investing in both FedEx and IShares 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 FedEx and IShares Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between FedEx and iShares Global Timber, you can compare the effects of market volatilities on FedEx and IShares 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 FedEx with a short position of IShares Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of FedEx and IShares Global.
Diversification Opportunities for FedEx and IShares Global
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between FedEx and IShares is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding FedEx and iShares Global Timber in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on iShares Global Timber and FedEx 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 FedEx are associated (or correlated) with IShares Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of iShares Global Timber has no effect on the direction of FedEx i.e., FedEx and IShares Global go up and down completely randomly.
Pair Corralation between FedEx and IShares Global
If you would invest 178,597 in iShares Global Timber on September 19, 2024 and sell it today you would earn a total of 0.00 from holding iShares Global Timber or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.24% |
| Values | Daily Returns |
FedEx vs. iShares Global Timber
Performance |
| Timeline |
| FedEx |
| iShares Global Timber |
FedEx and IShares Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with FedEx and IShares Global
The main advantage of trading using opposite FedEx and IShares Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if FedEx position performs unexpectedly, IShares 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 IShares Global will offset losses from the drop in IShares Global's long position.| FedEx vs. Honeywell International | FedEx vs. The Walt Disney | FedEx vs. Netflix | FedEx vs. The Goodyear Tire |
| IShares Global vs. The Select Sector | IShares Global vs. ProShares Trust | IShares Global vs. iShares Trust | IShares Global vs. Vanguard World |
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.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity |