Correlation Between Jupiter Fund and United States
Can any of the company-specific risk be diversified away by investing in both Jupiter Fund and United States 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 Jupiter Fund and United States into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jupiter Fund Management and United States Steel, you can compare the effects of market volatilities on Jupiter Fund and United States 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 Jupiter Fund with a short position of United States. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jupiter Fund and United States.
Diversification Opportunities for Jupiter Fund and United States
-0.44 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Jupiter and United is -0.44. Overlapping area represents the amount of risk that can be diversified away by holding Jupiter Fund Management and United States Steel in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on United States Steel and Jupiter Fund 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 Jupiter Fund Management are associated (or correlated) with United States. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of United States Steel has no effect on the direction of Jupiter Fund i.e., Jupiter Fund and United States go up and down completely randomly.
Pair Corralation between Jupiter Fund and United States
Assuming the 90 days trading horizon Jupiter Fund Management is expected to under-perform the United States. In addition to that, Jupiter Fund is 1.33 times more volatile than United States Steel. It trades about -0.15 of its total potential returns per unit of risk. United States Steel is currently generating about 0.33 per unit of volatility. If you would invest 3,198 in United States Steel on November 7, 2024 and sell it today you would earn a total of 522.00 from holding United States Steel or generate 16.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jupiter Fund Management vs. United States Steel
Performance |
| Timeline |
| Jupiter Fund Management |
| United States Steel |
Jupiter Fund and United States Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jupiter Fund and United States
The main advantage of trading using opposite Jupiter Fund and United States positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jupiter Fund position performs unexpectedly, United States 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 United States will offset losses from the drop in United States' long position.| Jupiter Fund vs. European Metals Holdings | Jupiter Fund vs. FC Investment Trust | Jupiter Fund vs. Westlake Chemical Corp | Jupiter Fund vs. AMG Advanced Metallurgical |
| United States vs. Dalata Hotel Group | United States vs. Infrastrutture Wireless Italiane | United States vs. InterContinental Hotels Group | United States vs. Bloomsbury Publishing Plc |
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 Bonds Directory module to find actively traded corporate debentures issued by US companies.
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