Correlation Between Pembina Pipeline and Enbridge Cumulative
Specify exactly 2 symbols:
By analyzing existing cross correlation between Pembina Pipeline Corp and Enbridge Cumulative Red, you can compare the effects of market volatilities on Pembina Pipeline and Enbridge Cumulative 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 Pembina Pipeline with a short position of Enbridge Cumulative. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pembina Pipeline and Enbridge Cumulative.
Diversification Opportunities for Pembina Pipeline and Enbridge Cumulative
0.96 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Pembina and Enbridge is 0.96. Overlapping area represents the amount of risk that can be diversified away by holding Pembina Pipeline Corp and Enbridge Cumulative Red in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Enbridge Cumulative Red and Pembina Pipeline 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 Pembina Pipeline Corp are associated (or correlated) with Enbridge Cumulative. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Enbridge Cumulative Red has no effect on the direction of Pembina Pipeline i.e., Pembina Pipeline and Enbridge Cumulative go up and down completely randomly.
Pair Corralation between Pembina Pipeline and Enbridge Cumulative
Assuming the 90 days trading horizon Pembina Pipeline is expected to generate 5.13 times less return on investment than Enbridge Cumulative. In addition to that, Pembina Pipeline is 1.33 times more volatile than Enbridge Cumulative Red. It trades about 0.03 of its total potential returns per unit of risk. Enbridge Cumulative Red is currently generating about 0.21 per unit of volatility. If you would invest 1,715 in Enbridge Cumulative Red on November 7, 2024 and sell it today you would earn a total of 216.00 from holding Enbridge Cumulative Red or generate 12.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 99.19% |
| Values | Daily Returns |
Pembina Pipeline Corp vs. Enbridge Cumulative Red
Performance |
| Timeline |
| Pembina Pipeline Corp |
| Enbridge Cumulative Red |
Pembina Pipeline and Enbridge Cumulative Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pembina Pipeline and Enbridge Cumulative
The main advantage of trading using opposite Pembina Pipeline and Enbridge Cumulative positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pembina Pipeline position performs unexpectedly, Enbridge Cumulative 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 Enbridge Cumulative will offset losses from the drop in Enbridge Cumulative's long position.| Pembina Pipeline vs. Pembina Pipeline Corp | Pembina Pipeline vs. Pembina Pipeline Corp | Pembina Pipeline vs. Pembina Pipeline Corp | Pembina Pipeline vs. Pembina Pipeline Corp |
| Enbridge Cumulative vs. Primaris Retail RE | Enbridge Cumulative vs. National Bank of | Enbridge Cumulative vs. Verizon Communications CDR | Enbridge Cumulative vs. US Financial 15 |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |