Correlation Between First Ship and Gap,
Can any of the company-specific risk be diversified away by investing in both First Ship and Gap, 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 Gap, 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 The Gap,, you can compare the effects of market volatilities on First Ship and Gap, 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 Gap,. Check out your portfolio center. Please also check ongoing floating volatility patterns of First Ship and Gap,.
Diversification Opportunities for First Ship and Gap,
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between First and Gap, is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding First Ship Lease and The Gap, in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gap, 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 Gap,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gap, has no effect on the direction of First Ship i.e., First Ship and Gap, go up and down completely randomly.
Pair Corralation between First Ship and Gap,
If you would invest 2,317 in The Gap, on August 25, 2024 and sell it today you would earn a total of 170.00 from holding The Gap, or generate 7.34% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
First Ship Lease vs. The Gap,
Performance |
| Timeline |
| First Ship Lease |
| Gap, |
First Ship and Gap, Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with First Ship and Gap,
The main advantage of trading using opposite First Ship and Gap, positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if First Ship position performs unexpectedly, Gap, 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 Gap, will offset losses from the drop in Gap,'s long position.| First Ship vs. Tandem Diabetes Care | First Ship vs. Microbot Medical | First Ship vs. LENSAR Inc | First Ship vs. Cumberland Pharmaceuticals |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
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