Correlation Between Uber Technologies and US Global
Can any of the company-specific risk be diversified away by investing in both Uber Technologies and US Global 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 Uber Technologies and US Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Uber Technologies and US Global Investors, you can compare the effects of market volatilities on Uber Technologies and US Global 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 Uber Technologies with a short position of US Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Uber Technologies and US Global.
Diversification Opportunities for Uber Technologies and US Global
-0.35 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Uber and GROW is -0.35. Overlapping area represents the amount of risk that can be diversified away by holding Uber Technologies and US Global Investors in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on US Global Investors and Uber Technologies 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 Uber Technologies are associated (or correlated) with US Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of US Global Investors has no effect on the direction of Uber Technologies i.e., Uber Technologies and US Global go up and down completely randomly.
Pair Corralation between Uber Technologies and US Global
Given the investment horizon of 90 days Uber Technologies is expected to generate 2.1 times more return on investment than US Global. However, Uber Technologies is 2.1 times more volatile than US Global Investors. It trades about 0.05 of its potential returns per unit of risk. US Global Investors is currently generating about -0.02 per unit of risk. If you would invest 6,455 in Uber Technologies on September 2, 2024 and sell it today you would earn a total of 741.00 from holding Uber Technologies or generate 11.48% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Uber Technologies vs. US Global Investors
Performance |
| Timeline |
| Uber Technologies |
| US Global Investors |
Uber Technologies and US Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Uber Technologies and US Global
The main advantage of trading using opposite Uber Technologies and US Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Uber Technologies position performs unexpectedly, US Global 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 US Global will offset losses from the drop in US Global's long position.| Uber Technologies vs. Zoom Video Communications | Uber Technologies vs. Snowflake | Uber Technologies vs. Workday | Uber Technologies vs. C3 Ai Inc |
| US Global vs. Gladstone Investment | US Global vs. PennantPark Floating Rate | US Global vs. Horizon Technology Finance | US Global vs. Stellus Capital Investment |
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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |