Correlation Between Juniata Valley and Kuya Silver
Can any of the company-specific risk be diversified away by investing in both Juniata Valley and Kuya Silver 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 Juniata Valley and Kuya Silver into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Juniata Valley Financial and Kuya Silver, you can compare the effects of market volatilities on Juniata Valley and Kuya Silver 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 Juniata Valley with a short position of Kuya Silver. Check out your portfolio center. Please also check ongoing floating volatility patterns of Juniata Valley and Kuya Silver.
Diversification Opportunities for Juniata Valley and Kuya Silver
-0.7 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Juniata and Kuya is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding Juniata Valley Financial and Kuya Silver in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kuya Silver and Juniata Valley 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 Juniata Valley Financial are associated (or correlated) with Kuya Silver. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kuya Silver has no effect on the direction of Juniata Valley i.e., Juniata Valley and Kuya Silver go up and down completely randomly.
Pair Corralation between Juniata Valley and Kuya Silver
Given the investment horizon of 90 days Juniata Valley Financial is expected to generate 0.82 times more return on investment than Kuya Silver. However, Juniata Valley Financial is 1.22 times less risky than Kuya Silver. It trades about 0.02 of its potential returns per unit of risk. Kuya Silver is currently generating about 0.02 per unit of risk. If you would invest 1,332 in Juniata Valley Financial on October 19, 2024 and sell it today you would lose (52.00) from holding Juniata Valley Financial or give up 3.9% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 89.49% |
| Values | Daily Returns |
Juniata Valley Financial vs. Kuya Silver
Performance |
| Timeline |
| Juniata Valley Financial |
| Kuya Silver |
Juniata Valley and Kuya Silver Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Juniata Valley and Kuya Silver
The main advantage of trading using opposite Juniata Valley and Kuya Silver positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Juniata Valley position performs unexpectedly, Kuya Silver 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 Kuya Silver will offset losses from the drop in Kuya Silver's long position.| Juniata Valley vs. FNB Inc | Juniata Valley vs. Apollo Bancorp | Juniata Valley vs. Commercial National Financial | Juniata Valley vs. Eastern Michigan Financial |
| Kuya Silver vs. Arizona Silver Exploration | Kuya Silver vs. Silver Hammer Mining | Kuya Silver vs. Dolly Varden Silver | Kuya Silver vs. Reyna Silver Corp |
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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements |