Correlation Between 207597EG6 and Deluxe
Specify exactly 2 symbols:
By analyzing existing cross correlation between CONNECTICUT LT PWR and Deluxe, you can compare the effects of market volatilities on 207597EG6 and Deluxe 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 207597EG6 with a short position of Deluxe. Check out your portfolio center. Please also check ongoing floating volatility patterns of 207597EG6 and Deluxe.
Diversification Opportunities for 207597EG6 and Deluxe
Excellent diversification
The 3 months correlation between 207597EG6 and Deluxe is -0.69. Overlapping area represents the amount of risk that can be diversified away by holding CONNECTICUT LT PWR and Deluxe in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Deluxe and 207597EG6 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 CONNECTICUT LT PWR are associated (or correlated) with Deluxe. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Deluxe has no effect on the direction of 207597EG6 i.e., 207597EG6 and Deluxe go up and down completely randomly.
Pair Corralation between 207597EG6 and Deluxe
Assuming the 90 days trading horizon CONNECTICUT LT PWR is expected to under-perform the Deluxe. In addition to that, 207597EG6 is 1.5 times more volatile than Deluxe. It trades about -0.11 of its total potential returns per unit of risk. Deluxe is currently generating about 0.03 per unit of volatility. If you would invest 2,340 in Deluxe on September 13, 2024 and sell it today you would earn a total of 18.00 from holding Deluxe or generate 0.77% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 57.14% |
| Values | Daily Returns |
CONNECTICUT LT PWR vs. Deluxe
Performance |
| Timeline |
| CONNECTICUT LT PWR |
| Deluxe |
207597EG6 and Deluxe Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with 207597EG6 and Deluxe
The main advantage of trading using opposite 207597EG6 and Deluxe positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if 207597EG6 position performs unexpectedly, Deluxe 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 Deluxe will offset losses from the drop in Deluxe's long position.| 207597EG6 vs. Sun Country Airlines | 207597EG6 vs. U Power Limited | 207597EG6 vs. Proficient Auto Logistics, | 207597EG6 vs. Mesa Air Group |
| Deluxe vs. Criteo Sa | Deluxe vs. Emerald Expositions Events | Deluxe vs. Marchex | Deluxe vs. Integral Ad Science |
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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |