Correlation Between IShares and JPMorgan Short
Can any of the company-specific risk be diversified away by investing in both IShares and JPMorgan Short 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 IShares and JPMorgan Short into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between IShares and JPMorgan Short Duration, you can compare the effects of market volatilities on IShares and JPMorgan Short 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 IShares with a short position of JPMorgan Short. Check out your portfolio center. Please also check ongoing floating volatility patterns of IShares and JPMorgan Short.
Diversification Opportunities for IShares and JPMorgan Short
-0.53 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between IShares and JPMorgan is -0.53. Overlapping area represents the amount of risk that can be diversified away by holding IShares and JPMorgan Short Duration in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JPMorgan Short Duration and IShares 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 IShares are associated (or correlated) with JPMorgan Short. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JPMorgan Short Duration has no effect on the direction of IShares i.e., IShares and JPMorgan Short go up and down completely randomly.
Pair Corralation between IShares and JPMorgan Short
If you would invest 6,301 in IShares on August 25, 2024 and sell it today you would earn a total of 0.00 from holding IShares or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 2.22% |
| Values | Daily Returns |
IShares vs. JPMorgan Short Duration
Performance |
| Timeline |
| IShares |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| JPMorgan Short Duration |
IShares and JPMorgan Short Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with IShares and JPMorgan Short
The main advantage of trading using opposite IShares and JPMorgan Short positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if IShares position performs unexpectedly, JPMorgan Short 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 JPMorgan Short will offset losses from the drop in JPMorgan Short's long position.| IShares vs. VanEck Merk Gold | IShares vs. Goldman Sachs Physical | IShares vs. GraniteShares Gold Trust | IShares vs. iShares Gold Trust |
| JPMorgan Short vs. Dimensional ETF Trust | JPMorgan Short vs. Dimensional ETF Trust | JPMorgan Short vs. Dimensional Core Equity | JPMorgan Short vs. Dimensional ETF Trust |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Stocks Directory Find actively traded stocks across global markets | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data |