Correlation Between Sun Life and ATLANTIC PETROLPF
Can any of the company-specific risk be diversified away by investing in both Sun Life and ATLANTIC PETROLPF 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 Sun Life and ATLANTIC PETROLPF into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Sun Life Financial and ATLANTIC PETROLPF DK, you can compare the effects of market volatilities on Sun Life and ATLANTIC PETROLPF 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 Sun Life with a short position of ATLANTIC PETROLPF. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sun Life and ATLANTIC PETROLPF.
Diversification Opportunities for Sun Life and ATLANTIC PETROLPF
-0.82 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Sun and ATLANTIC is -0.82. Overlapping area represents the amount of risk that can be diversified away by holding Sun Life Financial and ATLANTIC PETROLPF DK in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ATLANTIC PETROLPF and Sun Life 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 Sun Life Financial are associated (or correlated) with ATLANTIC PETROLPF. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ATLANTIC PETROLPF has no effect on the direction of Sun Life i.e., Sun Life and ATLANTIC PETROLPF go up and down completely randomly.
Pair Corralation between Sun Life and ATLANTIC PETROLPF
Assuming the 90 days horizon Sun Life Financial is expected to generate 0.24 times more return on investment than ATLANTIC PETROLPF. However, Sun Life Financial is 4.11 times less risky than ATLANTIC PETROLPF. It trades about 0.18 of its potential returns per unit of risk. ATLANTIC PETROLPF DK is currently generating about 0.0 per unit of risk. If you would invest 4,459 in Sun Life Financial on September 1, 2024 and sell it today you would earn a total of 1,291 from holding Sun Life Financial or generate 28.95% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 99.24% |
| Values | Daily Returns |
Sun Life Financial vs. ATLANTIC PETROLPF DK
Performance |
| Timeline |
| Sun Life Financial |
| ATLANTIC PETROLPF |
Sun Life and ATLANTIC PETROLPF Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sun Life and ATLANTIC PETROLPF
The main advantage of trading using opposite Sun Life and ATLANTIC PETROLPF positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sun Life position performs unexpectedly, ATLANTIC PETROLPF 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 ATLANTIC PETROLPF will offset losses from the drop in ATLANTIC PETROLPF's long position.| Sun Life vs. Sunstone Hotel Investors | Sun Life vs. China Resources Beer | Sun Life vs. Suntory Beverage Food | Sun Life vs. BOSTON BEER A |
| ATLANTIC PETROLPF vs. MHP Hotel AG | ATLANTIC PETROLPF vs. Cleanaway Waste Management | ATLANTIC PETROLPF vs. INTERCONT HOTELS | ATLANTIC PETROLPF vs. VIVA WINE GROUP |
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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Other Complementary Tools
| 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 | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |