Correlation Between Horizon Kinetics and Amplify Seymour
Can any of the company-specific risk be diversified away by investing in both Horizon Kinetics and Amplify Seymour 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 Horizon Kinetics and Amplify Seymour into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Horizon Kinetics SPAC and Amplify Seymour Cannabis, you can compare the effects of market volatilities on Horizon Kinetics and Amplify Seymour 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 Horizon Kinetics with a short position of Amplify Seymour. Check out your portfolio center. Please also check ongoing floating volatility patterns of Horizon Kinetics and Amplify Seymour.
Diversification Opportunities for Horizon Kinetics and Amplify Seymour
0.12 | Correlation Coefficient |
Average diversification
The 3 months correlation between Horizon and Amplify is 0.12. Overlapping area represents the amount of risk that can be diversified away by holding Horizon Kinetics SPAC and Amplify Seymour Cannabis in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amplify Seymour Cannabis and Horizon Kinetics 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 Horizon Kinetics SPAC are associated (or correlated) with Amplify Seymour. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amplify Seymour Cannabis has no effect on the direction of Horizon Kinetics i.e., Horizon Kinetics and Amplify Seymour go up and down completely randomly.
Pair Corralation between Horizon Kinetics and Amplify Seymour
Given the investment horizon of 90 days Horizon Kinetics SPAC is expected to generate 0.03 times more return on investment than Amplify Seymour. However, Horizon Kinetics SPAC is 31.22 times less risky than Amplify Seymour. It trades about 0.35 of its potential returns per unit of risk. Amplify Seymour Cannabis is currently generating about -0.04 per unit of risk. If you would invest 9,827 in Horizon Kinetics SPAC on November 9, 2024 and sell it today you would earn a total of 59.00 from holding Horizon Kinetics SPAC or generate 0.6% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Horizon Kinetics SPAC vs. Amplify Seymour Cannabis
Performance |
| Timeline |
| Horizon Kinetics SPAC |
| Amplify Seymour Cannabis |
Horizon Kinetics and Amplify Seymour Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Horizon Kinetics and Amplify Seymour
The main advantage of trading using opposite Horizon Kinetics and Amplify Seymour positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Horizon Kinetics position performs unexpectedly, Amplify Seymour 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 Amplify Seymour will offset losses from the drop in Amplify Seymour's long position.| Horizon Kinetics vs. Freedom Day Dividend | Horizon Kinetics vs. Franklin Templeton ETF | Horizon Kinetics vs. iShares MSCI China | Horizon Kinetics vs. Tidal Trust II |
| Amplify Seymour vs. AdvisorShares Pure Cannabis | Amplify Seymour vs. Cambria Cannabis ETF | Amplify Seymour vs. AdvisorShares Pure Cannabis |
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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
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