Correlation Between LENSAR and MCBRAC
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By analyzing existing cross correlation between LENSAR Inc and MCBRAC 725 30 JUN 31, you can compare the effects of market volatilities on LENSAR and MCBRAC 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 LENSAR with a short position of MCBRAC. Check out your portfolio center. Please also check ongoing floating volatility patterns of LENSAR and MCBRAC.
Diversification Opportunities for LENSAR and MCBRAC
Pay attention - limited upside
The 3 months correlation between LENSAR and MCBRAC is -0.71. Overlapping area represents the amount of risk that can be diversified away by holding LENSAR Inc and MCBRAC 725 30 JUN 31 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MCBRAC 725 30 and LENSAR 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 LENSAR Inc are associated (or correlated) with MCBRAC. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MCBRAC 725 30 has no effect on the direction of LENSAR i.e., LENSAR and MCBRAC go up and down completely randomly.
Pair Corralation between LENSAR and MCBRAC
Given the investment horizon of 90 days LENSAR Inc is expected to generate 3.03 times more return on investment than MCBRAC. However, LENSAR is 3.03 times more volatile than MCBRAC 725 30 JUN 31. It trades about 0.14 of its potential returns per unit of risk. MCBRAC 725 30 JUN 31 is currently generating about 0.01 per unit of risk. If you would invest 321.00 in LENSAR Inc on September 3, 2024 and sell it today you would earn a total of 432.00 from holding LENSAR Inc or generate 134.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 46.99% |
| Values | Daily Returns |
LENSAR Inc vs. MCBRAC 725 30 JUN 31
Performance |
| Timeline |
| LENSAR Inc |
| MCBRAC 725 30 |
LENSAR and MCBRAC Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with LENSAR and MCBRAC
The main advantage of trading using opposite LENSAR and MCBRAC positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if LENSAR position performs unexpectedly, MCBRAC 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 MCBRAC will offset losses from the drop in MCBRAC's long position.The idea behind LENSAR Inc and MCBRAC 725 30 JUN 31 pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| MCBRAC vs. Keurig Dr Pepper | MCBRAC vs. Anheuser Busch Inbev | MCBRAC vs. Oatly Group AB | MCBRAC vs. Molson Coors Brewing |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
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