Correlation Between Senior Connect and Oxbridge Acquisition
Can any of the company-specific risk be diversified away by investing in both Senior Connect and Oxbridge Acquisition 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 Senior Connect and Oxbridge Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Senior Connect Acquisition and Oxbridge Acquisition Equity, you can compare the effects of market volatilities on Senior Connect and Oxbridge Acquisition 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 Senior Connect with a short position of Oxbridge Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Senior Connect and Oxbridge Acquisition.
Diversification Opportunities for Senior Connect and Oxbridge Acquisition
0.42 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Senior and Oxbridge is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding Senior Connect Acquisition and Oxbridge Acquisition Equity in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oxbridge Acquisition and Senior Connect 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 Senior Connect Acquisition are associated (or correlated) with Oxbridge Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oxbridge Acquisition has no effect on the direction of Senior Connect i.e., Senior Connect and Oxbridge Acquisition go up and down completely randomly.
Pair Corralation between Senior Connect and Oxbridge Acquisition
If you would invest 5.34 in Oxbridge Acquisition Equity on September 5, 2024 and sell it today you would earn a total of 0.00 from holding Oxbridge Acquisition Equity or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Senior Connect Acquisition vs. Oxbridge Acquisition Equity
Performance |
| Timeline |
| Senior Connect Acqui |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Oxbridge Acquisition |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Senior Connect and Oxbridge Acquisition Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Senior Connect and Oxbridge Acquisition
The main advantage of trading using opposite Senior Connect and Oxbridge Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Senior Connect position performs unexpectedly, Oxbridge Acquisition 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 Oxbridge Acquisition will offset losses from the drop in Oxbridge Acquisition's long position.| Senior Connect vs. IX Acquisition Corp | Senior Connect vs. LatAmGrowth SPAC | Senior Connect vs. Portage Fintech Acquisition | Senior Connect vs. Swiftmerge Acquisition 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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |