Correlation Between 12513GBD0 and Griffon
Specify exactly 2 symbols:
By analyzing existing cross correlation between CDW LLC 425 and Griffon, you can compare the effects of market volatilities on 12513GBD0 and Griffon 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 12513GBD0 with a short position of Griffon. Check out your portfolio center. Please also check ongoing floating volatility patterns of 12513GBD0 and Griffon.
Diversification Opportunities for 12513GBD0 and Griffon
Excellent diversification
The 3 months correlation between 12513GBD0 and Griffon is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding CDW LLC 425 and Griffon in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Griffon and 12513GBD0 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 CDW LLC 425 are associated (or correlated) with Griffon. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Griffon has no effect on the direction of 12513GBD0 i.e., 12513GBD0 and Griffon go up and down completely randomly.
Pair Corralation between 12513GBD0 and Griffon
Assuming the 90 days trading horizon CDW LLC 425 is expected to under-perform the Griffon. But the bond apears to be less risky and, when comparing its historical volatility, CDW LLC 425 is 2.98 times less risky than Griffon. The bond trades about -0.13 of its potential returns per unit of risk. The Griffon is currently generating about 0.17 of returns per unit of risk over similar time horizon. If you would invest 6,270 in Griffon on September 3, 2024 and sell it today you would earn a total of 2,160 from holding Griffon or generate 34.45% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 96.88% |
| Values | Daily Returns |
CDW LLC 425 vs. Griffon
Performance |
| Timeline |
| CDW LLC 425 |
| Griffon |
12513GBD0 and Griffon Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with 12513GBD0 and Griffon
The main advantage of trading using opposite 12513GBD0 and Griffon positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if 12513GBD0 position performs unexpectedly, Griffon 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 Griffon will offset losses from the drop in Griffon's long position.The idea behind CDW LLC 425 and Griffon pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| Griffon vs. Steel Partners Holdings | Griffon vs. Brookfield Business Partners | Griffon vs. Tejon Ranch Co | Griffon vs. Compass Diversified Holdings |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk |