Correlation Between Pentair PLC and GLENLN
Specify exactly 2 symbols:
By analyzing existing cross correlation between Pentair PLC and GLENLN 1625 01 SEP 25, you can compare the effects of market volatilities on Pentair PLC and GLENLN 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 Pentair PLC with a short position of GLENLN. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pentair PLC and GLENLN.
Diversification Opportunities for Pentair PLC and GLENLN
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Pentair and GLENLN is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding Pentair PLC and GLENLN 1625 01 SEP 25 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GLENLN 1625 01 and Pentair PLC 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 Pentair PLC are associated (or correlated) with GLENLN. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GLENLN 1625 01 has no effect on the direction of Pentair PLC i.e., Pentair PLC and GLENLN go up and down completely randomly.
Pair Corralation between Pentair PLC and GLENLN
Considering the 90-day investment horizon Pentair PLC is expected to generate 2.19 times more return on investment than GLENLN. However, Pentair PLC is 2.19 times more volatile than GLENLN 1625 01 SEP 25. It trades about 0.33 of its potential returns per unit of risk. GLENLN 1625 01 SEP 25 is currently generating about -0.11 per unit of risk. If you would invest 9,059 in Pentair PLC on September 12, 2024 and sell it today you would earn a total of 1,862 from holding Pentair PLC or generate 20.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 67.19% |
| Values | Daily Returns |
Pentair PLC vs. GLENLN 1625 01 SEP 25
Performance |
| Timeline |
| Pentair PLC |
| GLENLN 1625 01 |
Pentair PLC and GLENLN Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pentair PLC and GLENLN
The main advantage of trading using opposite Pentair PLC and GLENLN positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pentair PLC position performs unexpectedly, GLENLN 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 GLENLN will offset losses from the drop in GLENLN's long position.| Pentair PLC vs. Hurco Companies | Pentair PLC vs. Enerpac Tool Group | Pentair PLC vs. China Yuchai International | Pentair PLC vs. Luxfer Holdings PLC |
| GLENLN vs. Primo Brands | GLENLN vs. Celsius Holdings | GLENLN vs. Willamette Valley Vineyards | GLENLN vs. China Tontine Wines |
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 Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Other Complementary Tools
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |