Correlation Between Goldman Sachs and Oppenheimer Global
Can any of the company-specific risk be diversified away by investing in both Goldman Sachs and Oppenheimer Global 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 Goldman Sachs and Oppenheimer Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Goldman Sachs Real and Oppenheimer Global Multi Asset, you can compare the effects of market volatilities on Goldman Sachs and Oppenheimer Global 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 Goldman Sachs with a short position of Oppenheimer Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Goldman Sachs and Oppenheimer Global.
Diversification Opportunities for Goldman Sachs and Oppenheimer Global
-0.13 | Correlation Coefficient |
Good diversification
The 3 months correlation between Goldman and Oppenheimer is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Goldman Sachs Real and Oppenheimer Global Multi Asset in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oppenheimer Global and Goldman Sachs 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 Goldman Sachs Real are associated (or correlated) with Oppenheimer Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oppenheimer Global has no effect on the direction of Goldman Sachs i.e., Goldman Sachs and Oppenheimer Global go up and down completely randomly.
Pair Corralation between Goldman Sachs and Oppenheimer Global
Assuming the 90 days horizon Goldman Sachs Real is expected to generate 1.66 times more return on investment than Oppenheimer Global. However, Goldman Sachs is 1.66 times more volatile than Oppenheimer Global Multi Asset. It trades about 0.04 of its potential returns per unit of risk. Oppenheimer Global Multi Asset is currently generating about 0.04 per unit of risk. If you would invest 1,094 in Goldman Sachs Real on September 3, 2024 and sell it today you would earn a total of 274.00 from holding Goldman Sachs Real or generate 25.05% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Goldman Sachs Real vs. Oppenheimer Global Multi Asset
Performance |
| Timeline |
| Goldman Sachs Real |
| Oppenheimer Global |
Goldman Sachs and Oppenheimer Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Goldman Sachs and Oppenheimer Global
The main advantage of trading using opposite Goldman Sachs and Oppenheimer Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Goldman Sachs position performs unexpectedly, Oppenheimer Global 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 Oppenheimer Global will offset losses from the drop in Oppenheimer Global's long position.| Goldman Sachs vs. Goldman Sachs High | Goldman Sachs vs. Ab High Income | Goldman Sachs vs. Morningstar Aggressive Growth | Goldman Sachs vs. Artisan High Income |
| Oppenheimer Global vs. Columbia Real Estate | Oppenheimer Global vs. Dunham Real Estate | Oppenheimer Global vs. Goldman Sachs Real | Oppenheimer Global vs. Franklin Real Estate |
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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Other Complementary Tools
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules |