Correlation Between GM and TAKAREK MORTGAGE
Can any of the company-specific risk be diversified away by investing in both GM and TAKAREK MORTGAGE 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 GM and TAKAREK MORTGAGE into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between General Motors and TAKAREK MORTGAGE, you can compare the effects of market volatilities on GM and TAKAREK MORTGAGE 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 GM with a short position of TAKAREK MORTGAGE. Check out your portfolio center. Please also check ongoing floating volatility patterns of GM and TAKAREK MORTGAGE.
Diversification Opportunities for GM and TAKAREK MORTGAGE
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between GM and TAKAREK is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding General Motors and TAKAREK MORTGAGE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TAKAREK MORTGAGE and GM 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 General Motors are associated (or correlated) with TAKAREK MORTGAGE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TAKAREK MORTGAGE has no effect on the direction of GM i.e., GM and TAKAREK MORTGAGE go up and down completely randomly.
Pair Corralation between GM and TAKAREK MORTGAGE
If you would invest 5,096 in General Motors on September 2, 2024 and sell it today you would earn a total of 463.00 from holding General Motors or generate 9.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
General Motors vs. TAKAREK MORTGAGE
Performance |
| Timeline |
| General Motors |
| TAKAREK MORTGAGE |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
GM and TAKAREK MORTGAGE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GM and TAKAREK MORTGAGE
The main advantage of trading using opposite GM and TAKAREK MORTGAGE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GM position performs unexpectedly, TAKAREK MORTGAGE 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 TAKAREK MORTGAGE will offset losses from the drop in TAKAREK MORTGAGE's long position.The idea behind General Motors and TAKAREK MORTGAGE 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.| TAKAREK MORTGAGE vs. Nutex Investments PLC | TAKAREK MORTGAGE vs. NordTelekom Telecommunications Service | TAKAREK MORTGAGE vs. OTP Bank Nyrt | TAKAREK MORTGAGE vs. Delta Technologies Nyrt |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |