Correlation Between GraniteShares Platinum and Barclays Capital
Can any of the company-specific risk be diversified away by investing in both GraniteShares Platinum and Barclays Capital 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 Platinum and Barclays Capital into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between GraniteShares Platinum Trust and Barclays Capital, you can compare the effects of market volatilities on GraniteShares Platinum and Barclays Capital 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 Platinum with a short position of Barclays Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of GraniteShares Platinum and Barclays Capital.
Diversification Opportunities for GraniteShares Platinum and Barclays Capital
-0.34 | Correlation Coefficient |
Very good diversification
The 3 months correlation between GraniteShares and Barclays is -0.34. Overlapping area represents the amount of risk that can be diversified away by holding GraniteShares Platinum Trust and Barclays Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Barclays Capital and GraniteShares Platinum 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 Platinum Trust are associated (or correlated) with Barclays Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Barclays Capital has no effect on the direction of GraniteShares Platinum i.e., GraniteShares Platinum and Barclays Capital go up and down completely randomly.
Pair Corralation between GraniteShares Platinum and Barclays Capital
If you would invest 4,941 in Barclays Capital on August 31, 2024 and sell it today you would earn a total of 0.00 from holding Barclays Capital or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 8.31% |
| Values | Daily Returns |
GraniteShares Platinum Trust vs. Barclays Capital
Performance |
| Timeline |
| GraniteShares Platinum |
| Barclays Capital |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
GraniteShares Platinum and Barclays Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GraniteShares Platinum and Barclays Capital
The main advantage of trading using opposite GraniteShares Platinum and Barclays Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GraniteShares Platinum position performs unexpectedly, Barclays Capital 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 Barclays Capital will offset losses from the drop in Barclays Capital's long position.The idea behind GraniteShares Platinum Trust and Barclays Capital 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.
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| 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 | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| 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 |