Correlation Between Urban Edge and J W
Can any of the company-specific risk be diversified away by investing in both Urban Edge and J W 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 Urban Edge and J W into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Urban Edge Properties and J W Mays, you can compare the effects of market volatilities on Urban Edge and J W 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 Urban Edge with a short position of J W. Check out your portfolio center. Please also check ongoing floating volatility patterns of Urban Edge and J W.
Diversification Opportunities for Urban Edge and J W
-0.35 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Urban and MAYS is -0.35. Overlapping area represents the amount of risk that can be diversified away by holding Urban Edge Properties and J W Mays in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on J W Mays and Urban Edge 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 Urban Edge Properties are associated (or correlated) with J W. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of J W Mays has no effect on the direction of Urban Edge i.e., Urban Edge and J W go up and down completely randomly.
Pair Corralation between Urban Edge and J W
Allowing for the 90-day total investment horizon Urban Edge is expected to generate 112.19 times less return on investment than J W. But when comparing it to its historical volatility, Urban Edge Properties is 68.29 times less risky than J W. It trades about 0.06 of its potential returns per unit of risk. J W Mays is currently generating about 0.09 of returns per unit of risk over similar time horizon. If you would invest 4,599 in J W Mays on November 9, 2024 and sell it today you would lose (449.00) from holding J W Mays or give up 9.76% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 37.93% |
| Values | Daily Returns |
Urban Edge Properties vs. J W Mays
Performance |
| Timeline |
| Urban Edge Properties |
| J W Mays |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Urban Edge and J W Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Urban Edge and J W
The main advantage of trading using opposite Urban Edge and J W positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Urban Edge position performs unexpectedly, J W 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 J W will offset losses from the drop in J W's long position.| Urban Edge vs. Saul Centers | Urban Edge vs. Rithm Property Trust | Urban Edge vs. Site Centers Corp | Urban Edge vs. Kite Realty Group |
| J W vs. Marcus Millichap | J W vs. FirstService Corp | J W vs. Maui Land Pineapple | J W vs. Frp Holdings Ord |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |