Correlation Between Getty Copper and Delek Logistics
Can any of the company-specific risk be diversified away by investing in both Getty Copper and Delek Logistics 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 Getty Copper and Delek Logistics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Getty Copper and Delek Logistics Partners, you can compare the effects of market volatilities on Getty Copper and Delek Logistics 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 Getty Copper with a short position of Delek Logistics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Getty Copper and Delek Logistics.
Diversification Opportunities for Getty Copper and Delek Logistics
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Getty and Delek is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Getty Copper and Delek Logistics Partners in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Delek Logistics Partners and Getty Copper 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 Getty Copper are associated (or correlated) with Delek Logistics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Delek Logistics Partners has no effect on the direction of Getty Copper i.e., Getty Copper and Delek Logistics go up and down completely randomly.
Pair Corralation between Getty Copper and Delek Logistics
Assuming the 90 days horizon Getty Copper is expected to generate 4.3 times more return on investment than Delek Logistics. However, Getty Copper is 4.3 times more volatile than Delek Logistics Partners. It trades about 0.07 of its potential returns per unit of risk. Delek Logistics Partners is currently generating about 0.0 per unit of risk. If you would invest 1.11 in Getty Copper on September 12, 2024 and sell it today you would earn a total of 3.77 from holding Getty Copper or generate 339.64% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Getty Copper vs. Delek Logistics Partners
Performance |
| Timeline |
| Getty Copper |
| Delek Logistics Partners |
Getty Copper and Delek Logistics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Getty Copper and Delek Logistics
The main advantage of trading using opposite Getty Copper and Delek Logistics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Getty Copper position performs unexpectedly, Delek Logistics 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 Delek Logistics will offset losses from the drop in Delek Logistics' long position.| Getty Copper vs. Qubec Nickel Corp | Getty Copper vs. IGO Limited | Getty Copper vs. Focus Graphite | Getty Copper vs. Mineral Res |
| Delek Logistics vs. CVR Energy | Delek Logistics vs. PBF Energy | Delek Logistics vs. HF Sinclair Corp | Delek Logistics vs. Par Pacific Holdings |
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
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