Correlation Between GM and 466313AM5
Specify exactly 2 symbols:
By analyzing existing cross correlation between General Motors and JBL 425 15 MAY 27, you can compare the effects of market volatilities on GM and 466313AM5 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 466313AM5. Check out your portfolio center. Please also check ongoing floating volatility patterns of GM and 466313AM5.
Diversification Opportunities for GM and 466313AM5
Very good diversification
The 3 months correlation between GM and 466313AM5 is -0.42. Overlapping area represents the amount of risk that can be diversified away by holding General Motors and JBL 425 15 MAY 27 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JBL 425 15 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 466313AM5. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JBL 425 15 has no effect on the direction of GM i.e., GM and 466313AM5 go up and down completely randomly.
Pair Corralation between GM and 466313AM5
Allowing for the 90-day total investment horizon General Motors is expected to under-perform the 466313AM5. In addition to that, GM is 15.46 times more volatile than JBL 425 15 MAY 27. It trades about -0.34 of its total potential returns per unit of risk. JBL 425 15 MAY 27 is currently generating about -0.17 per unit of volatility. If you would invest 9,886 in JBL 425 15 MAY 27 on November 27, 2024 and sell it today you would lose (47.00) from holding JBL 425 15 MAY 27 or give up 0.48% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 90.0% |
| Values | Daily Returns |
General Motors vs. JBL 425 15 MAY 27
Performance |
| Timeline |
| General Motors |
| JBL 425 15 |
GM and 466313AM5 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GM and 466313AM5
The main advantage of trading using opposite GM and 466313AM5 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GM position performs unexpectedly, 466313AM5 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 466313AM5 will offset losses from the drop in 466313AM5's long position.The idea behind General Motors and JBL 425 15 MAY 27 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.| 466313AM5 vs. Tandem Diabetes Care | 466313AM5 vs. Repligen | 466313AM5 vs. Sonida Senior Living | 466313AM5 vs. Alto Neuroscience, |
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 Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
Other Complementary Tools
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |