Correlation Between SentinelOne and Amundi ETF
Can any of the company-specific risk be diversified away by investing in both SentinelOne and Amundi ETF 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 Amundi ETF into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SentinelOne and Amundi ETF PEA, you can compare the effects of market volatilities on SentinelOne and Amundi ETF 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 Amundi ETF. Check out your portfolio center. Please also check ongoing floating volatility patterns of SentinelOne and Amundi ETF.
Diversification Opportunities for SentinelOne and Amundi ETF
0.93 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between SentinelOne and Amundi is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and Amundi ETF PEA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amundi ETF PEA 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 Amundi ETF. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amundi ETF PEA has no effect on the direction of SentinelOne i.e., SentinelOne and Amundi ETF go up and down completely randomly.
Pair Corralation between SentinelOne and Amundi ETF
Taking into account the 90-day investment horizon SentinelOne is expected to generate 2.79 times more return on investment than Amundi ETF. However, SentinelOne is 2.79 times more volatile than Amundi ETF PEA. It trades about 0.06 of its potential returns per unit of risk. Amundi ETF PEA is currently generating about 0.12 per unit of risk. If you would invest 1,983 in SentinelOne on August 27, 2024 and sell it today you would earn a total of 871.00 from holding SentinelOne or generate 43.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 98.8% |
| Values | Daily Returns |
SentinelOne vs. Amundi ETF PEA
Performance |
| Timeline |
| SentinelOne |
| Amundi ETF PEA |
SentinelOne and Amundi ETF Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SentinelOne and Amundi ETF
The main advantage of trading using opposite SentinelOne and Amundi ETF positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SentinelOne position performs unexpectedly, Amundi ETF 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 Amundi ETF will offset losses from the drop in Amundi ETF's long position.| SentinelOne vs. GigaCloud Technology Class | SentinelOne vs. Arqit Quantum | SentinelOne vs. Cemtrex | SentinelOne vs. Rapid7 Inc |
| Amundi ETF vs. Amundi ETF PEA | Amundi ETF vs. Amundi ETF PEA | Amundi ETF vs. Amundi Index Solutions | Amundi ETF vs. Amundi ETF PEA |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
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