Correlation Between JPM Emerging and CM AM
Specify exactly 2 symbols:
By analyzing existing cross correlation between JPM Emerging Markets and CM AM Monplus NE, you can compare the effects of market volatilities on JPM Emerging and CM AM 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 JPM Emerging with a short position of CM AM. Check out your portfolio center. Please also check ongoing floating volatility patterns of JPM Emerging and CM AM.
Diversification Opportunities for JPM Emerging and CM AM
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between JPM and 0P0001F96C is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding JPM Emerging Markets and CM AM Monplus NE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CM AM Monplus and JPM Emerging 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 JPM Emerging Markets are associated (or correlated) with CM AM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CM AM Monplus has no effect on the direction of JPM Emerging i.e., JPM Emerging and CM AM go up and down completely randomly.
Pair Corralation between JPM Emerging and CM AM
Assuming the 90 days trading horizon JPM Emerging Markets is expected to generate 113.04 times more return on investment than CM AM. However, JPM Emerging is 113.04 times more volatile than CM AM Monplus NE. It trades about 0.02 of its potential returns per unit of risk. CM AM Monplus NE is currently generating about 1.33 per unit of risk. If you would invest 3,685 in JPM Emerging Markets on September 2, 2024 and sell it today you would earn a total of 15.00 from holding JPM Emerging Markets or generate 0.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.45% |
| Values | Daily Returns |
JPM Emerging Markets vs. CM AM Monplus NE
Performance |
| Timeline |
| JPM Emerging Markets |
| CM AM Monplus |
JPM Emerging and CM AM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with JPM Emerging and CM AM
The main advantage of trading using opposite JPM Emerging and CM AM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JPM Emerging position performs unexpectedly, CM AM 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 CM AM will offset losses from the drop in CM AM's long position.| JPM Emerging vs. JPM America Equity | JPM Emerging vs. JPM Europe Small | JPM Emerging vs. Esfera Robotics R | JPM Emerging vs. R co Valor F |
| CM AM vs. Groupama Entreprises N | CM AM vs. Renaissance Europe C | CM AM vs. Superior Plus Corp | CM AM vs. Origin Agritech |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |