Correlation Between Palmer Square and 25160PAE7
Specify exactly 2 symbols:
By analyzing existing cross correlation between Palmer Square Ultra Short and DEUTSCHE BK AG, you can compare the effects of market volatilities on Palmer Square and 25160PAE7 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 Palmer Square with a short position of 25160PAE7. Check out your portfolio center. Please also check ongoing floating volatility patterns of Palmer Square and 25160PAE7.
Diversification Opportunities for Palmer Square and 25160PAE7
-0.38 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Palmer and 25160PAE7 is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding Palmer Square Ultra Short and DEUTSCHE BK AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on DEUTSCHE BK AG and Palmer Square 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 Palmer Square Ultra Short are associated (or correlated) with 25160PAE7. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DEUTSCHE BK AG has no effect on the direction of Palmer Square i.e., Palmer Square and 25160PAE7 go up and down completely randomly.
Pair Corralation between Palmer Square and 25160PAE7
Assuming the 90 days horizon Palmer Square Ultra Short is expected to generate 0.54 times more return on investment than 25160PAE7. However, Palmer Square Ultra Short is 1.84 times less risky than 25160PAE7. It trades about -0.19 of its potential returns per unit of risk. DEUTSCHE BK AG is currently generating about -0.6 per unit of risk. If you would invest 2,011 in Palmer Square Ultra Short on October 15, 2024 and sell it today you would lose (21.00) from holding Palmer Square Ultra Short or give up 1.04% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 50.0% |
| Values | Daily Returns |
Palmer Square Ultra Short vs. DEUTSCHE BK AG
Performance |
| Timeline |
| Palmer Square Ultra |
| DEUTSCHE BK AG |
Palmer Square and 25160PAE7 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Palmer Square and 25160PAE7
The main advantage of trading using opposite Palmer Square and 25160PAE7 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Palmer Square position performs unexpectedly, 25160PAE7 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 25160PAE7 will offset losses from the drop in 25160PAE7's long position.| Palmer Square vs. T Rowe Price | Palmer Square vs. Versatile Bond Portfolio | Palmer Square vs. Old Westbury Fixed | Palmer Square vs. Ambrus Core Bond |
| 25160PAE7 vs. Virtus Investment Partners, | 25160PAE7 vs. Old Republic International | 25160PAE7 vs. Compass Diversified Holdings | 25160PAE7 vs. AG Mortgage 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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data |