Correlation Between SPTSX Dividend and TD Select
Specify exactly 2 symbols:
By analyzing existing cross correlation between SPTSX Dividend Aristocrats and TD Select Short, you can compare the effects of market volatilities on SPTSX Dividend and TD Select 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 SPTSX Dividend with a short position of TD Select. Check out your portfolio center. Please also check ongoing floating volatility patterns of SPTSX Dividend and TD Select.
Diversification Opportunities for SPTSX Dividend and TD Select
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between SPTSX and TCSB is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding SPTSX Dividend Aristocrats and TD Select Short in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TD Select Short and SPTSX Dividend 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 SPTSX Dividend Aristocrats are associated (or correlated) with TD Select. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TD Select Short has no effect on the direction of SPTSX Dividend i.e., SPTSX Dividend and TD Select go up and down completely randomly.
Pair Corralation between SPTSX Dividend and TD Select
Assuming the 90 days trading horizon SPTSX Dividend Aristocrats is expected to generate 3.49 times more return on investment than TD Select. However, SPTSX Dividend is 3.49 times more volatile than TD Select Short. It trades about 0.14 of its potential returns per unit of risk. TD Select Short is currently generating about 0.2 per unit of risk. If you would invest 29,566 in SPTSX Dividend Aristocrats on September 14, 2024 and sell it today you would earn a total of 7,312 from holding SPTSX Dividend Aristocrats or generate 24.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 99.63% |
| Values | Daily Returns |
SPTSX Dividend Aristocrats vs. TD Select Short
Performance |
| Timeline |
SPTSX Dividend and TD Select Volatility Contrast
Predicted Return Density |
| Returns |
SPTSX Dividend Aristocrats
Pair trading matchups for SPTSX Dividend
TD Select Short
Pair trading matchups for TD Select
Pair Trading with SPTSX Dividend and TD Select
The main advantage of trading using opposite SPTSX Dividend and TD Select positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SPTSX Dividend position performs unexpectedly, TD Select 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 TD Select will offset losses from the drop in TD Select's long position.| SPTSX Dividend vs. Westshore Terminals Investment | SPTSX Dividend vs. NorthWest Healthcare Properties | SPTSX Dividend vs. Leveljump Healthcare Corp | SPTSX Dividend vs. Highwood Asset Management |
| TD Select vs. iShares Canadian Universe | TD Select vs. iShares Canadian Real | TD Select vs. iShares Core Canadian | TD Select vs. iShares Core Canadian |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |