Correlation Between Griffon and NEXTERA
Specify exactly 2 symbols:
By analyzing existing cross correlation between Griffon and NEXTERA ENERGY CAPITAL, you can compare the effects of market volatilities on Griffon and NEXTERA 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 Griffon with a short position of NEXTERA. Check out your portfolio center. Please also check ongoing floating volatility patterns of Griffon and NEXTERA.
Diversification Opportunities for Griffon and NEXTERA
Excellent diversification
The 3 months correlation between Griffon and NEXTERA is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding Griffon and NEXTERA ENERGY CAPITAL in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on NEXTERA ENERGY CAPITAL and Griffon 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 Griffon are associated (or correlated) with NEXTERA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NEXTERA ENERGY CAPITAL has no effect on the direction of Griffon i.e., Griffon and NEXTERA go up and down completely randomly.
Pair Corralation between Griffon and NEXTERA
Considering the 90-day investment horizon Griffon is expected to generate 5.37 times more return on investment than NEXTERA. However, Griffon is 5.37 times more volatile than NEXTERA ENERGY CAPITAL. It trades about 0.17 of its potential returns per unit of risk. NEXTERA ENERGY CAPITAL is currently generating about -0.13 per unit of risk. If you would invest 6,270 in Griffon on September 3, 2024 and sell it today you would earn a total of 2,160 from holding Griffon or generate 34.45% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 98.44% |
| Values | Daily Returns |
Griffon vs. NEXTERA ENERGY CAPITAL
Performance |
| Timeline |
| Griffon |
| NEXTERA ENERGY CAPITAL |
Griffon and NEXTERA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Griffon and NEXTERA
The main advantage of trading using opposite Griffon and NEXTERA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Griffon position performs unexpectedly, NEXTERA 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 NEXTERA will offset losses from the drop in NEXTERA's long position.| Griffon vs. Steel Partners Holdings | Griffon vs. Brookfield Business Partners | Griffon vs. Tejon Ranch Co | Griffon vs. Compass Diversified Holdings |
| NEXTERA vs. Western Acquisition Ventures | NEXTERA vs. Griffon | NEXTERA vs. Lion One Metals | NEXTERA vs. Verra Mobility Corp |
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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| 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 | |
| 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 | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum |