Correlation Between Jacquet Metal and HF SINCLAIR
Can any of the company-specific risk be diversified away by investing in both Jacquet Metal and HF SINCLAIR 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 Jacquet Metal and HF SINCLAIR into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jacquet Metal Service and HF SINCLAIR P, you can compare the effects of market volatilities on Jacquet Metal and HF SINCLAIR 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 Jacquet Metal with a short position of HF SINCLAIR. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jacquet Metal and HF SINCLAIR.
Diversification Opportunities for Jacquet Metal and HF SINCLAIR
-0.4 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Jacquet and HL80 is -0.4. Overlapping area represents the amount of risk that can be diversified away by holding Jacquet Metal Service and HF SINCLAIR P in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HF SINCLAIR P and Jacquet Metal 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 Jacquet Metal Service are associated (or correlated) with HF SINCLAIR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HF SINCLAIR P has no effect on the direction of Jacquet Metal i.e., Jacquet Metal and HF SINCLAIR go up and down completely randomly.
Pair Corralation between Jacquet Metal and HF SINCLAIR
Assuming the 90 days horizon Jacquet Metal Service is expected to under-perform the HF SINCLAIR. But the stock apears to be less risky and, when comparing its historical volatility, Jacquet Metal Service is 1.37 times less risky than HF SINCLAIR. The stock trades about -0.18 of its potential returns per unit of risk. The HF SINCLAIR P is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 3,673 in HF SINCLAIR P on August 31, 2024 and sell it today you would earn a total of 167.00 from holding HF SINCLAIR P or generate 4.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jacquet Metal Service vs. HF SINCLAIR P
Performance |
| Timeline |
| Jacquet Metal Service |
| HF SINCLAIR P |
Jacquet Metal and HF SINCLAIR Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jacquet Metal and HF SINCLAIR
The main advantage of trading using opposite Jacquet Metal and HF SINCLAIR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jacquet Metal position performs unexpectedly, HF SINCLAIR 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 HF SINCLAIR will offset losses from the drop in HF SINCLAIR's long position.| Jacquet Metal vs. Tsingtao Brewery | Jacquet Metal vs. BJs Restaurants | Jacquet Metal vs. GungHo Online Entertainment | Jacquet Metal vs. Thai Beverage Public |
| HF SINCLAIR vs. Superior Plus Corp | HF SINCLAIR vs. NMI Holdings | HF SINCLAIR vs. Origin Agritech | HF SINCLAIR vs. SIVERS SEMICONDUCTORS AB |
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 AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |