Correlation Between Juniper Hotels and VA Tech
Specify exactly 2 symbols:
By analyzing existing cross correlation between Juniper Hotels and VA Tech Wabag, you can compare the effects of market volatilities on Juniper Hotels and VA Tech 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 Hotels with a short position of VA Tech. Check out your portfolio center. Please also check ongoing floating volatility patterns of Juniper Hotels and VA Tech.
Diversification Opportunities for Juniper Hotels and VA Tech
0.71 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Juniper and WABAG is 0.71. Overlapping area represents the amount of risk that can be diversified away by holding Juniper Hotels and VA Tech Wabag in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on VA Tech Wabag and Juniper Hotels 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 Hotels are associated (or correlated) with VA Tech. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of VA Tech Wabag has no effect on the direction of Juniper Hotels i.e., Juniper Hotels and VA Tech go up and down completely randomly.
Pair Corralation between Juniper Hotels and VA Tech
Assuming the 90 days trading horizon Juniper Hotels is expected to under-perform the VA Tech. But the stock apears to be less risky and, when comparing its historical volatility, Juniper Hotels is 1.07 times less risky than VA Tech. The stock trades about -0.03 of its potential returns per unit of risk. The VA Tech Wabag is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest 31,520 in VA Tech Wabag on October 25, 2024 and sell it today you would earn a total of 108,165 from holding VA Tech Wabag or generate 343.16% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 46.0% |
| Values | Daily Returns |
Juniper Hotels vs. VA Tech Wabag
Performance |
| Timeline |
| Juniper Hotels |
| VA Tech Wabag |
Juniper Hotels and VA Tech Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Juniper Hotels and VA Tech
The main advantage of trading using opposite Juniper Hotels and VA Tech positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Juniper Hotels position performs unexpectedly, VA Tech 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 VA Tech will offset losses from the drop in VA Tech's long position.| Juniper Hotels vs. Reliance Industries Limited | Juniper Hotels vs. HDFC Bank Limited | Juniper Hotels vs. Bharti Airtel Limited | Juniper Hotels vs. State Bank of |
| VA Tech vs. Zydus Wellness Limited | VA Tech vs. Fortis Healthcare Limited | VA Tech vs. Aster DM Healthcare | VA Tech vs. Global Health Limited |
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 Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm |