Correlation Between Netflix and 08949LAB6
Specify exactly 2 symbols:
By analyzing existing cross correlation between Netflix and BIG RIV STL, you can compare the effects of market volatilities on Netflix and 08949LAB6 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 Netflix with a short position of 08949LAB6. Check out your portfolio center. Please also check ongoing floating volatility patterns of Netflix and 08949LAB6.
Diversification Opportunities for Netflix and 08949LAB6
Very good diversification
The 3 months correlation between Netflix and 08949LAB6 is -0.32. Overlapping area represents the amount of risk that can be diversified away by holding Netflix and BIG RIV STL in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BIG RIV STL and Netflix 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 Netflix are associated (or correlated) with 08949LAB6. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BIG RIV STL has no effect on the direction of Netflix i.e., Netflix and 08949LAB6 go up and down completely randomly.
Pair Corralation between Netflix and 08949LAB6
Given the investment horizon of 90 days Netflix is expected to generate 16.92 times less return on investment than 08949LAB6. But when comparing it to its historical volatility, Netflix is 32.39 times less risky than 08949LAB6. It trades about 0.12 of its potential returns per unit of risk. BIG RIV STL is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest 9,652 in BIG RIV STL on September 13, 2024 and sell it today you would earn a total of 82.00 from holding BIG RIV STL or generate 0.85% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 83.81% |
| Values | Daily Returns |
Netflix vs. BIG RIV STL
Performance |
| Timeline |
| Netflix |
| BIG RIV STL |
Netflix and 08949LAB6 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Netflix and 08949LAB6
The main advantage of trading using opposite Netflix and 08949LAB6 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Netflix position performs unexpectedly, 08949LAB6 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 08949LAB6 will offset losses from the drop in 08949LAB6's long position.| Netflix vs. Paramount Global Class | Netflix vs. Roku Inc | Netflix vs. Warner Bros Discovery | Netflix vs. AMC Entertainment Holdings |
| 08949LAB6 vs. SEI Investments | 08949LAB6 vs. Black Hills | 08949LAB6 vs. ChargePoint Holdings | 08949LAB6 vs. Fidus Investment 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 Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account |