Correlation Between RF Acquisition and CF Acquisition
Can any of the company-specific risk be diversified away by investing in both RF Acquisition and CF Acquisition 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 RF Acquisition and CF Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between RF Acquisition Corp and CF Acquisition VII, you can compare the effects of market volatilities on RF Acquisition and CF Acquisition 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 RF Acquisition with a short position of CF Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of RF Acquisition and CF Acquisition.
Diversification Opportunities for RF Acquisition and CF Acquisition
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between RFACW and CFFSU is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding RF Acquisition Corp and CF Acquisition VII in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CF Acquisition VII and RF Acquisition 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 RF Acquisition Corp are associated (or correlated) with CF Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CF Acquisition VII has no effect on the direction of RF Acquisition i.e., RF Acquisition and CF Acquisition go up and down completely randomly.
Pair Corralation between RF Acquisition and CF Acquisition
If you would invest 1.50 in RF Acquisition Corp on November 9, 2024 and sell it today you would earn a total of 4.00 from holding RF Acquisition Corp or generate 266.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
RF Acquisition Corp vs. CF Acquisition VII
Performance |
| Timeline |
| RF Acquisition Corp |
| CF Acquisition VII |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
RF Acquisition and CF Acquisition Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with RF Acquisition and CF Acquisition
The main advantage of trading using opposite RF Acquisition and CF Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if RF Acquisition position performs unexpectedly, CF Acquisition 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 CF Acquisition will offset losses from the drop in CF Acquisition's long position.| RF Acquisition vs. Voyager Acquisition Corp | RF Acquisition vs. dMY Squared Technology | RF Acquisition vs. YHN Acquisition I | RF Acquisition vs. YHN Acquisition I |
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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |