Correlation Between First Ship and Funko
Can any of the company-specific risk be diversified away by investing in both First Ship and Funko 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 First Ship and Funko into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between First Ship Lease and Funko Inc, you can compare the effects of market volatilities on First Ship and Funko 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 First Ship with a short position of Funko. Check out your portfolio center. Please also check ongoing floating volatility patterns of First Ship and Funko.
Diversification Opportunities for First Ship and Funko
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between First and Funko is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding First Ship Lease and Funko Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Funko Inc and First Ship 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 First Ship Lease are associated (or correlated) with Funko. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Funko Inc has no effect on the direction of First Ship i.e., First Ship and Funko go up and down completely randomly.
Pair Corralation between First Ship and Funko
If you would invest 1,165 in Funko Inc on October 17, 2024 and sell it today you would earn a total of 168.00 from holding Funko Inc or generate 14.42% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.24% |
| Values | Daily Returns |
First Ship Lease vs. Funko Inc
Performance |
| Timeline |
| First Ship Lease |
| Funko Inc |
First Ship and Funko Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with First Ship and Funko
The main advantage of trading using opposite First Ship and Funko positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if First Ship position performs unexpectedly, Funko 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 Funko will offset losses from the drop in Funko's long position.| First Ship vs. Vulcan Materials | First Ship vs. Codexis | First Ship vs. CF Industries Holdings | First Ship vs. Tencent Music Entertainment |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Global Correlations Find global opportunities by holding instruments from different markets |