Correlation Between Grupo Financiero and Grupo Televisa

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Grupo Financiero and Grupo Televisa 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 Grupo Financiero and Grupo Televisa into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Grupo Financiero Banorte and Grupo Televisa SAB, you can compare the effects of market volatilities on Grupo Financiero and Grupo Televisa 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 Grupo Financiero with a short position of Grupo Televisa. Check out your portfolio center. Please also check ongoing floating volatility patterns of Grupo Financiero and Grupo Televisa.

Diversification Opportunities for Grupo Financiero and Grupo Televisa

0.06
  Correlation Coefficient

Significant diversification

The 3 months correlation between Grupo and Grupo is 0.06. Overlapping area represents the amount of risk that can be diversified away by holding Grupo Financiero Banorte and Grupo Televisa SAB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Grupo Televisa SAB and Grupo Financiero 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 Grupo Financiero Banorte are associated (or correlated) with Grupo Televisa. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Grupo Televisa SAB has no effect on the direction of Grupo Financiero i.e., Grupo Financiero and Grupo Televisa go up and down completely randomly.

Pair Corralation between Grupo Financiero and Grupo Televisa

Assuming the 90 days trading horizon Grupo Financiero Banorte is expected to generate 0.56 times more return on investment than Grupo Televisa. However, Grupo Financiero Banorte is 1.77 times less risky than Grupo Televisa. It trades about 0.22 of its potential returns per unit of risk. Grupo Televisa SAB is currently generating about 0.03 per unit of risk. If you would invest  13,755  in Grupo Financiero Banorte on October 22, 2024 and sell it today you would earn a total of  852.00  from holding Grupo Financiero Banorte or generate 6.19% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Grupo Financiero Banorte  vs.  Grupo Televisa SAB

 Performance 
       Timeline  
Grupo Financiero Banorte 

Risk-Adjusted Performance

4 of 100

 
Weak
 
Strong
Insignificant
Compared to the overall equity markets, risk-adjusted returns on investments in Grupo Financiero Banorte are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of rather sound basic indicators, Grupo Financiero is not utilizing all of its potentials. The current stock price tumult, may contribute to shorter-term losses for the shareholders.
Grupo Televisa SAB 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Grupo Televisa SAB has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's basic indicators remain somewhat strong which may send shares a bit higher in February 2025. The current disturbance may also be a sign of long term up-swing for the company investors.

Grupo Financiero and Grupo Televisa Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Grupo Financiero and Grupo Televisa

The main advantage of trading using opposite Grupo Financiero and Grupo Televisa positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Grupo Financiero position performs unexpectedly, Grupo Televisa 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 Grupo Televisa will offset losses from the drop in Grupo Televisa's long position.
Grupo Financiero vs. McEwen Mining
Grupo Financiero vs. United Airlines Holdings
Grupo Financiero vs. The Bank of
Grupo Financiero vs. Micron Technology
The idea behind Grupo Financiero Banorte and Grupo Televisa SAB 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.
Grupo Televisa vs. Fomento Econmico Mexicano
Grupo Televisa vs. Grupo Mxico SAB
Grupo Televisa vs. Grupo Financiero Banorte
Grupo Televisa vs. Alfa SAB de
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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.

Other Complementary Tools

Insider Screener
Find insiders across different sectors to evaluate their impact on performance
Odds Of Bankruptcy
Get analysis of equity chance of financial distress in the next 2 years
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Price Exposure Probability
Analyze equity upside and downside potential for a given time horizon across multiple markets
Equity Search
Search for actively traded equities including funds and ETFs from over 30 global markets


 
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2024 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY