Correlation Between AIM ETF and GLCN
Can any of the company-specific risk be diversified away by investing in both AIM ETF and GLCN 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 AIM ETF and GLCN into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between AIM ETF Products and GLCN, you can compare the effects of market volatilities on AIM ETF and GLCN 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 AIM ETF with a short position of GLCN. Check out your portfolio center. Please also check ongoing floating volatility patterns of AIM ETF and GLCN.
Diversification Opportunities for AIM ETF and GLCN
Pay attention - limited upside
The 3 months correlation between AIM and GLCN is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding AIM ETF Products and GLCN in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GLCN and AIM ETF 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 AIM ETF Products are associated (or correlated) with GLCN. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GLCN has no effect on the direction of AIM ETF i.e., AIM ETF and GLCN go up and down completely randomly.
Pair Corralation between AIM ETF and GLCN
If you would invest 2,638 in AIM ETF Products on September 3, 2024 and sell it today you would earn a total of 47.00 from holding AIM ETF Products or generate 1.78% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 5.0% |
| Values | Daily Returns |
AIM ETF Products vs. GLCN
Performance |
| Timeline |
| AIM ETF Products |
| GLCN |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
AIM ETF and GLCN Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AIM ETF and GLCN
The main advantage of trading using opposite AIM ETF and GLCN positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AIM ETF position performs unexpectedly, GLCN 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 GLCN will offset losses from the drop in GLCN's long position.| AIM ETF vs. FT Vest Equity | AIM ETF vs. Northern Lights | AIM ETF vs. Dimensional International High | AIM ETF vs. JPMorgan Fundamental Data |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Global Correlations Find global opportunities by holding instruments from different markets |