Correlation Between SentinelOne and FG Annuities
Can any of the company-specific risk be diversified away by investing in both SentinelOne and FG Annuities 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 SentinelOne and FG Annuities into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SentinelOne and FG Annuities Life, you can compare the effects of market volatilities on SentinelOne and FG Annuities 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 SentinelOne with a short position of FG Annuities. Check out your portfolio center. Please also check ongoing floating volatility patterns of SentinelOne and FG Annuities.
Diversification Opportunities for SentinelOne and FG Annuities
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between SentinelOne and FG Annuities is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and FG Annuities Life in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FG Annuities Life and SentinelOne 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 SentinelOne are associated (or correlated) with FG Annuities. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FG Annuities Life has no effect on the direction of SentinelOne i.e., SentinelOne and FG Annuities go up and down completely randomly.
Pair Corralation between SentinelOne and FG Annuities
Taking into account the 90-day investment horizon SentinelOne is expected to generate 1.11 times less return on investment than FG Annuities. In addition to that, SentinelOne is 1.3 times more volatile than FG Annuities Life. It trades about 0.06 of its total potential returns per unit of risk. FG Annuities Life is currently generating about 0.08 per unit of volatility. If you would invest 1,842 in FG Annuities Life on August 24, 2024 and sell it today you would earn a total of 2,988 from holding FG Annuities Life or generate 162.21% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
SentinelOne vs. FG Annuities Life
Performance |
| Timeline |
| SentinelOne |
| FG Annuities Life |
SentinelOne and FG Annuities Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SentinelOne and FG Annuities
The main advantage of trading using opposite SentinelOne and FG Annuities positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SentinelOne position performs unexpectedly, FG Annuities 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 FG Annuities will offset losses from the drop in FG Annuities' long position.| SentinelOne vs. Crowdstrike Holdings | SentinelOne vs. Okta Inc | SentinelOne vs. Cloudflare | SentinelOne vs. MongoDB |
| FG Annuities vs. Manulife Financial Corp | FG Annuities vs. Brighthouse Financial | FG Annuities vs. Jackson Financial |
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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device |