Correlation Between SASI Old and Castellum
Can any of the company-specific risk be diversified away by investing in both SASI Old and Castellum 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 SASI Old and Castellum into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SASI Old and Castellum, you can compare the effects of market volatilities on SASI Old and Castellum 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 SASI Old with a short position of Castellum. Check out your portfolio center. Please also check ongoing floating volatility patterns of SASI Old and Castellum.
Diversification Opportunities for SASI Old and Castellum
Very good diversification
The 3 months correlation between SASI and Castellum is -0.21. Overlapping area represents the amount of risk that can be diversified away by holding SASI Old and Castellum in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Castellum and SASI Old 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 SASI Old are associated (or correlated) with Castellum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Castellum has no effect on the direction of SASI Old i.e., SASI Old and Castellum go up and down completely randomly.
Pair Corralation between SASI Old and Castellum
If you would invest 16.00 in Castellum on October 26, 2024 and sell it today you would earn a total of 77.00 from holding Castellum or generate 481.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 1.69% |
| Values | Daily Returns |
SASI Old vs. Castellum
Performance |
| Timeline |
| SASI Old |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Castellum |
SASI Old and Castellum Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SASI Old and Castellum
The main advantage of trading using opposite SASI Old and Castellum positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SASI Old position performs unexpectedly, Castellum 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 Castellum will offset losses from the drop in Castellum's long position.| SASI Old vs. Flint Telecom Group | SASI Old vs. Castellum | SASI Old vs. Datametrex AI Limited | SASI Old vs. TTEC Holdings |
| Castellum vs. Flint Telecom Group | Castellum vs. Datametrex AI Limited | Castellum vs. TTEC Holdings | Castellum vs. Digatrade Financial Corp |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
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