Correlation Between SPDR SP and Elkhorn
Can any of the company-specific risk be diversified away by investing in both SPDR SP and Elkhorn 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 SPDR SP and Elkhorn into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SPDR SP 500 and Elkhorn, you can compare the effects of market volatilities on SPDR SP and Elkhorn 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 SPDR SP with a short position of Elkhorn. Check out your portfolio center. Please also check ongoing floating volatility patterns of SPDR SP and Elkhorn.
Diversification Opportunities for SPDR SP and Elkhorn
Pay attention - limited upside
The 3 months correlation between SPDR and Elkhorn is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding SPDR SP 500 and Elkhorn in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Elkhorn and SPDR SP 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 SPDR SP 500 are associated (or correlated) with Elkhorn. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Elkhorn has no effect on the direction of SPDR SP i.e., SPDR SP and Elkhorn go up and down completely randomly.
Pair Corralation between SPDR SP and Elkhorn
If you would invest 52,449 in SPDR SP 500 on August 30, 2024 and sell it today you would earn a total of 7,434 from holding SPDR SP 500 or generate 14.17% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
SPDR SP 500 vs. Elkhorn
Performance |
| Timeline |
| SPDR SP 500 |
| Elkhorn |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
SPDR SP and Elkhorn Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SPDR SP and Elkhorn
The main advantage of trading using opposite SPDR SP and Elkhorn positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SPDR SP position performs unexpectedly, Elkhorn 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 Elkhorn will offset losses from the drop in Elkhorn's long position.| SPDR SP vs. FT Vest Equity | SPDR SP vs. Northern Lights | SPDR SP vs. Dimensional International High | SPDR SP vs. First Trust Exchange Traded |
| Elkhorn vs. Vanguard Total Stock | Elkhorn vs. SPDR SP 500 | Elkhorn vs. iShares Core SP | Elkhorn vs. Vanguard Total Bond |
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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Other Complementary Tools
| Stocks Directory Find actively traded stocks across global markets | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |