Correlation Between Western Asset and 824348BP0
Specify exactly 2 symbols:
By analyzing existing cross correlation between Western Asset Investment and SHW 29 15 MAR 52, you can compare the effects of market volatilities on Western Asset and 824348BP0 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 Western Asset with a short position of 824348BP0. Check out your portfolio center. Please also check ongoing floating volatility patterns of Western Asset and 824348BP0.
Diversification Opportunities for Western Asset and 824348BP0
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Western and 824348BP0 is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding Western Asset Investment and SHW 29 15 MAR 52 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SHW 29 15 and Western Asset 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 Western Asset Investment are associated (or correlated) with 824348BP0. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SHW 29 15 has no effect on the direction of Western Asset i.e., Western Asset and 824348BP0 go up and down completely randomly.
Pair Corralation between Western Asset and 824348BP0
Considering the 90-day investment horizon Western Asset is expected to generate 14.3 times less return on investment than 824348BP0. But when comparing it to its historical volatility, Western Asset Investment is 9.49 times less risky than 824348BP0. It trades about 0.14 of its potential returns per unit of risk. SHW 29 15 MAR 52 is currently generating about 0.21 of returns per unit of risk over similar time horizon. If you would invest 6,263 in SHW 29 15 MAR 52 on September 15, 2024 and sell it today you would earn a total of 665.00 from holding SHW 29 15 MAR 52 or generate 10.62% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.24% |
| Values | Daily Returns |
Western Asset Investment vs. SHW 29 15 MAR 52
Performance |
| Timeline |
| Western Asset Investment |
| SHW 29 15 |
Western Asset and 824348BP0 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Western Asset and 824348BP0
The main advantage of trading using opposite Western Asset and 824348BP0 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Western Asset position performs unexpectedly, 824348BP0 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 824348BP0 will offset losses from the drop in 824348BP0's long position.| Western Asset vs. Visa Class A | Western Asset vs. Diamond Hill Investment | Western Asset vs. Distoken Acquisition | Western Asset vs. AllianceBernstein Holding LP |
| 824348BP0 vs. Stagwell | 824348BP0 vs. Cheniere Energy Partners | 824348BP0 vs. Aris Water Solutions | 824348BP0 vs. Xunlei Ltd Adr |
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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |