Correlation Between Banco Actinver and Compaa Minera
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By analyzing existing cross correlation between Banco Actinver SA and Compaa Minera Autln, you can compare the effects of market volatilities on Banco Actinver and Compaa Minera 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 Banco Actinver with a short position of Compaa Minera. Check out your portfolio center. Please also check ongoing floating volatility patterns of Banco Actinver and Compaa Minera.
Diversification Opportunities for Banco Actinver and Compaa Minera
0.02 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Banco and Compaa is 0.02. Overlapping area represents the amount of risk that can be diversified away by holding Banco Actinver SA and Compaa Minera Autln in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Compaa Minera Autln and Banco Actinver 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 Banco Actinver SA are associated (or correlated) with Compaa Minera. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Compaa Minera Autln has no effect on the direction of Banco Actinver i.e., Banco Actinver and Compaa Minera go up and down completely randomly.
Pair Corralation between Banco Actinver and Compaa Minera
Assuming the 90 days trading horizon Banco Actinver SA is expected to generate 0.5 times more return on investment than Compaa Minera. However, Banco Actinver SA is 2.0 times less risky than Compaa Minera. It trades about -0.03 of its potential returns per unit of risk. Compaa Minera Autln is currently generating about -0.07 per unit of risk. If you would invest 2,689 in Banco Actinver SA on September 4, 2024 and sell it today you would lose (334.00) from holding Banco Actinver SA or give up 12.42% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 99.73% |
| Values | Daily Returns |
Banco Actinver SA vs. Compaa Minera Autln
Performance |
| Timeline |
| Banco Actinver SA |
| Compaa Minera Autln |
Banco Actinver and Compaa Minera Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Banco Actinver and Compaa Minera
The main advantage of trading using opposite Banco Actinver and Compaa Minera positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Banco Actinver position performs unexpectedly, Compaa Minera 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 Compaa Minera will offset losses from the drop in Compaa Minera's long position.The idea behind Banco Actinver SA and Compaa Minera Autln pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| Compaa Minera vs. Grupo Sports World | Compaa Minera vs. Micron Technology | Compaa Minera vs. Verizon Communications | Compaa Minera vs. McEwen Mining |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
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