Correlation Between El Puerto and Grupo Comercial
Specify exactly 2 symbols:
By analyzing existing cross correlation between El Puerto de and Grupo Comercial Chedraui, you can compare the effects of market volatilities on El Puerto and Grupo Comercial 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 El Puerto with a short position of Grupo Comercial. Check out your portfolio center. Please also check ongoing floating volatility patterns of El Puerto and Grupo Comercial.
Diversification Opportunities for El Puerto and Grupo Comercial
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between LIVEPOLC-1 and Grupo is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding El Puerto de and Grupo Comercial Chedraui in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Grupo Comercial Chedraui and El Puerto 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 El Puerto de are associated (or correlated) with Grupo Comercial. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Grupo Comercial Chedraui has no effect on the direction of El Puerto i.e., El Puerto and Grupo Comercial go up and down completely randomly.
Pair Corralation between El Puerto and Grupo Comercial
Assuming the 90 days trading horizon El Puerto de is expected to generate 0.53 times more return on investment than Grupo Comercial. However, El Puerto de is 1.87 times less risky than Grupo Comercial. It trades about -0.03 of its potential returns per unit of risk. Grupo Comercial Chedraui is currently generating about -0.24 per unit of risk. If you would invest 10,000 in El Puerto de on October 20, 2024 and sell it today you would lose (52.00) from holding El Puerto de or give up 0.52% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
El Puerto de vs. Grupo Comercial Chedraui
Performance |
| Timeline |
| El Puerto de |
| Grupo Comercial Chedraui |
El Puerto and Grupo Comercial Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with El Puerto and Grupo Comercial
The main advantage of trading using opposite El Puerto and Grupo Comercial positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if El Puerto position performs unexpectedly, Grupo Comercial 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 Grupo Comercial will offset losses from the drop in Grupo Comercial's long position.| El Puerto vs. El Puerto de | El Puerto vs. Organizacin Soriana S | El Puerto vs. Companhia Brasileira de | El Puerto vs. Grupo Famsa SAB |
| Grupo Comercial vs. Grupo Minsa SAB | Grupo Comercial vs. Mdica Sur SAB | Grupo Comercial vs. Petrleo Brasileiro SA | Grupo Comercial vs. ALPEK SAB de |
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 Stocks Directory module to find actively traded stocks across global markets.
Other Complementary Tools
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum |