Correlation Between BGF Asian and BGF Euro
Can any of the company-specific risk be diversified away by investing in both BGF Asian and BGF Euro 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 BGF Asian and BGF Euro into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BGF Asian Tiger and BGF Euro Markets, you can compare the effects of market volatilities on BGF Asian and BGF Euro 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 BGF Asian with a short position of BGF Euro. Check out your portfolio center. Please also check ongoing floating volatility patterns of BGF Asian and BGF Euro.
Diversification Opportunities for BGF Asian and BGF Euro
Pay attention - limited upside
The 3 months correlation between BGF and BGF is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding BGF Asian Tiger and BGF Euro Markets in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BGF Euro Markets and BGF Asian 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 BGF Asian Tiger are associated (or correlated) with BGF Euro. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BGF Euro Markets has no effect on the direction of BGF Asian i.e., BGF Asian and BGF Euro go up and down completely randomly.
Pair Corralation between BGF Asian and BGF Euro
If you would invest 4,279 in BGF Euro Markets on December 4, 2024 and sell it today you would earn a total of 641.00 from holding BGF Euro Markets or generate 14.98% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
BGF Asian Tiger vs. BGF Euro Markets
Performance |
| Timeline |
| BGF Asian Tiger |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
| BGF Euro Markets |
BGF Asian and BGF Euro Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BGF Asian and BGF Euro
The main advantage of trading using opposite BGF Asian and BGF Euro positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BGF Asian position performs unexpectedly, BGF Euro 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 BGF Euro will offset losses from the drop in BGF Euro's long position.| BGF Asian vs. BGF Global Allocation | BGF Asian vs. BGF World Gold | BGF Asian vs. BGF Global Allocation | BGF Asian vs. BGF Euro Markets |
| BGF Euro vs. JPM Global Natural | BGF Euro vs. Azvalor Global Value | BGF Euro vs. Templeton Global AD | BGF Euro vs. Cobas Global PP |
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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments |