Correlation Between Juniper Networks and Global X
Can any of the company-specific risk be diversified away by investing in both Juniper Networks and Global X 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 Juniper Networks and Global X into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Juniper Networks and Global X Funds, you can compare the effects of market volatilities on Juniper Networks and Global X 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 Juniper Networks with a short position of Global X. Check out your portfolio center. Please also check ongoing floating volatility patterns of Juniper Networks and Global X.
Diversification Opportunities for Juniper Networks and Global X
0.17 | Correlation Coefficient |
Average diversification
The 3 months correlation between Juniper and Global is 0.17. Overlapping area represents the amount of risk that can be diversified away by holding Juniper Networks and Global X Funds in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Global X Funds and Juniper Networks 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 Juniper Networks are associated (or correlated) with Global X. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Global X Funds has no effect on the direction of Juniper Networks i.e., Juniper Networks and Global X go up and down completely randomly.
Pair Corralation between Juniper Networks and Global X
Given the investment horizon of 90 days Juniper Networks is expected to generate 1.36 times more return on investment than Global X. However, Juniper Networks is 1.36 times more volatile than Global X Funds. It trades about 0.03 of its potential returns per unit of risk. Global X Funds is currently generating about 0.0 per unit of risk. If you would invest 2,964 in Juniper Networks on January 11, 2025 and sell it today you would earn a total of 500.00 from holding Juniper Networks or generate 16.87% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 97.17% |
| Values | Daily Returns |
Juniper Networks vs. Global X Funds
Performance |
| Timeline |
| Juniper Networks |
| Global X Funds |
Juniper Networks and Global X Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Juniper Networks and Global X
The main advantage of trading using opposite Juniper Networks and Global X positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Juniper Networks position performs unexpectedly, Global X 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 Global X will offset losses from the drop in Global X's long position.| Juniper Networks vs. Lumentum Holdings | Juniper Networks vs. Extreme Networks | Juniper Networks vs. Clearfield | Juniper Networks vs. NETGEAR |
| Global X vs. Strategy Shares | Global X vs. Freedom Day Dividend | Global X vs. Franklin Templeton ETF | Global X vs. iShares MSCI China |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
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