Correlation Between GraniteShares 15x and SPDR Barclays
Can any of the company-specific risk be diversified away by investing in both GraniteShares 15x and SPDR Barclays 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 GraniteShares 15x and SPDR Barclays into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between GraniteShares 15x Long and SPDR Barclays Long, you can compare the effects of market volatilities on GraniteShares 15x and SPDR Barclays 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 GraniteShares 15x with a short position of SPDR Barclays. Check out your portfolio center. Please also check ongoing floating volatility patterns of GraniteShares 15x and SPDR Barclays.
Diversification Opportunities for GraniteShares 15x and SPDR Barclays
-0.81 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between GraniteShares and SPDR is -0.81. Overlapping area represents the amount of risk that can be diversified away by holding GraniteShares 15x Long and SPDR Barclays Long in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SPDR Barclays Long and GraniteShares 15x 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 GraniteShares 15x Long are associated (or correlated) with SPDR Barclays. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SPDR Barclays Long has no effect on the direction of GraniteShares 15x i.e., GraniteShares 15x and SPDR Barclays go up and down completely randomly.
Pair Corralation between GraniteShares 15x and SPDR Barclays
Given the investment horizon of 90 days GraniteShares 15x Long is expected to generate 5.83 times more return on investment than SPDR Barclays. However, GraniteShares 15x is 5.83 times more volatile than SPDR Barclays Long. It trades about 0.1 of its potential returns per unit of risk. SPDR Barclays Long is currently generating about -0.03 per unit of risk. If you would invest 7,532 in GraniteShares 15x Long on August 24, 2024 and sell it today you would earn a total of 610.00 from holding GraniteShares 15x Long or generate 8.1% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
GraniteShares 15x Long vs. SPDR Barclays Long
Performance |
| Timeline |
| GraniteShares 15x Long |
| SPDR Barclays Long |
GraniteShares 15x and SPDR Barclays Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GraniteShares 15x and SPDR Barclays
The main advantage of trading using opposite GraniteShares 15x and SPDR Barclays positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GraniteShares 15x position performs unexpectedly, SPDR Barclays 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 SPDR Barclays will offset losses from the drop in SPDR Barclays' long position.| GraniteShares 15x vs. Direxion Daily MSFT | GraniteShares 15x vs. Direxion Daily GOOGL | GraniteShares 15x vs. AXS 125X NVDA | GraniteShares 15x vs. Direxion Shares ETF |
| SPDR Barclays vs. iShares 10 Year | SPDR Barclays vs. SPDR Barclays Intermediate | SPDR Barclays vs. SPDR Barclays Short | SPDR Barclays vs. FlexShares Credit Scored Long |
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
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |