Correlation Between Sligro Food and PRINCIPAL
Specify exactly 2 symbols:
By analyzing existing cross correlation between Sligro Food Group and PRINCIPAL FINL GROUP, you can compare the effects of market volatilities on Sligro Food and PRINCIPAL 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 Sligro Food with a short position of PRINCIPAL. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sligro Food and PRINCIPAL.
Diversification Opportunities for Sligro Food and PRINCIPAL
0.7 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Sligro and PRINCIPAL is 0.7. Overlapping area represents the amount of risk that can be diversified away by holding Sligro Food Group and PRINCIPAL FINL GROUP in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PRINCIPAL FINL GROUP and Sligro Food 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 Sligro Food Group are associated (or correlated) with PRINCIPAL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PRINCIPAL FINL GROUP has no effect on the direction of Sligro Food i.e., Sligro Food and PRINCIPAL go up and down completely randomly.
Pair Corralation between Sligro Food and PRINCIPAL
Assuming the 90 days horizon Sligro Food Group is expected to under-perform the PRINCIPAL. In addition to that, Sligro Food is 1.31 times more volatile than PRINCIPAL FINL GROUP. It trades about -0.07 of its total potential returns per unit of risk. PRINCIPAL FINL GROUP is currently generating about -0.07 per unit of volatility. If you would invest 9,148 in PRINCIPAL FINL GROUP on September 12, 2024 and sell it today you would lose (154.00) from holding PRINCIPAL FINL GROUP or give up 1.68% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 28.13% |
| Values | Daily Returns |
Sligro Food Group vs. PRINCIPAL FINL GROUP
Performance |
| Timeline |
| Sligro Food Group |
| PRINCIPAL FINL GROUP |
Sligro Food and PRINCIPAL Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sligro Food and PRINCIPAL
The main advantage of trading using opposite Sligro Food and PRINCIPAL positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sligro Food position performs unexpectedly, PRINCIPAL 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 PRINCIPAL will offset losses from the drop in PRINCIPAL's long position.| Sligro Food vs. Sapiens International | Sligro Food vs. Canlan Ice Sports | Sligro Food vs. Mattel Inc | Sligro Food vs. Playa Hotels Resorts |
| PRINCIPAL vs. Kaltura | PRINCIPAL vs. Summit Hotel Properties | PRINCIPAL vs. BJs Restaurants | PRINCIPAL vs. Valneva SE ADR |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Global Correlations Find global opportunities by holding instruments from different markets |