Correlation Between Joint Corp and Aimei Health
Can any of the company-specific risk be diversified away by investing in both Joint Corp and Aimei Health 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 Joint Corp and Aimei Health into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between The Joint Corp and Aimei Health Technology, you can compare the effects of market volatilities on Joint Corp and Aimei Health 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 Joint Corp with a short position of Aimei Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Joint Corp and Aimei Health.
Diversification Opportunities for Joint Corp and Aimei Health
-0.29 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Joint and Aimei is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding The Joint Corp and Aimei Health Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aimei Health Technology and Joint Corp 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 The Joint Corp are associated (or correlated) with Aimei Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aimei Health Technology has no effect on the direction of Joint Corp i.e., Joint Corp and Aimei Health go up and down completely randomly.
Pair Corralation between Joint Corp and Aimei Health
Given the investment horizon of 90 days Joint Corp is expected to generate 1.36 times less return on investment than Aimei Health. In addition to that, Joint Corp is 5.47 times more volatile than Aimei Health Technology. It trades about 0.01 of its total potential returns per unit of risk. Aimei Health Technology is currently generating about 0.05 per unit of volatility. If you would invest 1,015 in Aimei Health Technology on September 12, 2024 and sell it today you would earn a total of 89.00 from holding Aimei Health Technology or generate 8.77% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 68.9% |
| Values | Daily Returns |
The Joint Corp vs. Aimei Health Technology
Performance |
| Timeline |
| Joint Corp |
| Aimei Health Technology |
Joint Corp and Aimei Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Joint Corp and Aimei Health
The main advantage of trading using opposite Joint Corp and Aimei Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Joint Corp position performs unexpectedly, Aimei Health 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 Aimei Health will offset losses from the drop in Aimei Health's long position.| Joint Corp vs. Encompass Health Corp | Joint Corp vs. Pennant Group | Joint Corp vs. Enhabit | Joint Corp vs. ModivCare |
| Aimei Health vs. Distoken Acquisition | Aimei Health vs. Voyager Acquisition Corp | Aimei Health vs. dMY Squared Technology | Aimei Health vs. YHN Acquisition I |
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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |