Correlation Between NYSE Composite and SIEGR
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By analyzing existing cross correlation between NYSE Composite and SIEGR 215 11 MAR 31, you can compare the effects of market volatilities on NYSE Composite and SIEGR 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 NYSE Composite with a short position of SIEGR. Check out your portfolio center. Please also check ongoing floating volatility patterns of NYSE Composite and SIEGR.
Diversification Opportunities for NYSE Composite and SIEGR
-0.17 | Correlation Coefficient |
Good diversification
The 3 months correlation between NYSE and SIEGR is -0.17. Overlapping area represents the amount of risk that can be diversified away by holding NYSE Composite and SIEGR 215 11 MAR 31 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SIEGR 215 11 and NYSE Composite 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 NYSE Composite are associated (or correlated) with SIEGR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SIEGR 215 11 has no effect on the direction of NYSE Composite i.e., NYSE Composite and SIEGR go up and down completely randomly.
Pair Corralation between NYSE Composite and SIEGR
Assuming the 90 days trading horizon NYSE Composite is expected to generate 0.77 times more return on investment than SIEGR. However, NYSE Composite is 1.29 times less risky than SIEGR. It trades about 0.08 of its potential returns per unit of risk. SIEGR 215 11 MAR 31 is currently generating about 0.0 per unit of risk. If you would invest 1,551,444 in NYSE Composite on August 31, 2024 and sell it today you would earn a total of 475,760 from holding NYSE Composite or generate 30.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 62.76% |
| Values | Daily Returns |
NYSE Composite vs. SIEGR 215 11 MAR 31
Performance |
| Timeline |
NYSE Composite and SIEGR Volatility Contrast
Predicted Return Density |
| Returns |
NYSE Composite
Pair trading matchups for NYSE Composite
SIEGR 215 11 MAR 31
Pair trading matchups for SIEGR
Pair Trading with NYSE Composite and SIEGR
The main advantage of trading using opposite NYSE Composite and SIEGR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if NYSE Composite position performs unexpectedly, SIEGR 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 SIEGR will offset losses from the drop in SIEGR's long position.| NYSE Composite vs. Nextplat Corp | NYSE Composite vs. Qualys Inc | NYSE Composite vs. Cadence Design Systems | NYSE Composite vs. Asure Software |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
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