Correlation Between Siit Ultra and Asg Managed
Can any of the company-specific risk be diversified away by investing in both Siit Ultra and Asg Managed 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 Siit Ultra and Asg Managed into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Siit Ultra Short and Asg Managed Futures, you can compare the effects of market volatilities on Siit Ultra and Asg Managed 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 Siit Ultra with a short position of Asg Managed. Check out your portfolio center. Please also check ongoing floating volatility patterns of Siit Ultra and Asg Managed.
Diversification Opportunities for Siit Ultra and Asg Managed
-0.52 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Siit and Asg is -0.52. Overlapping area represents the amount of risk that can be diversified away by holding Siit Ultra Short and Asg Managed Futures in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Asg Managed Futures and Siit Ultra 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 Siit Ultra Short are associated (or correlated) with Asg Managed. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Asg Managed Futures has no effect on the direction of Siit Ultra i.e., Siit Ultra and Asg Managed go up and down completely randomly.
Pair Corralation between Siit Ultra and Asg Managed
Assuming the 90 days horizon Siit Ultra Short is not expected to generate positive returns. However, Siit Ultra Short is 8.53 times less risky than Asg Managed. It waists most of its returns potential to compensate for thr risk taken. Asg Managed is generating about 0.21 per unit of risk. If you would invest 863.00 in Asg Managed Futures on September 4, 2024 and sell it today you would earn a total of 21.00 from holding Asg Managed Futures or generate 2.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 95.24% |
| Values | Daily Returns |
Siit Ultra Short vs. Asg Managed Futures
Performance |
| Timeline |
| Siit Ultra Short |
| Asg Managed Futures |
Siit Ultra and Asg Managed Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Siit Ultra and Asg Managed
The main advantage of trading using opposite Siit Ultra and Asg Managed positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Siit Ultra position performs unexpectedly, Asg Managed 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 Asg Managed will offset losses from the drop in Asg Managed's long position.| Siit Ultra vs. Arrow Managed Futures | Siit Ultra vs. Aqr Managed Futures | Siit Ultra vs. Asg Managed Futures | Siit Ultra vs. Inflation Protected Bond Fund |
| Asg Managed vs. Siit Ultra Short | Asg Managed vs. Limited Term Tax | Asg Managed vs. Maryland Short Term Tax Free | Asg Managed vs. Astor Longshort Fund |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
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