Correlation Between EXELON and Sphere Entertainment
Specify exactly 2 symbols:
By analyzing existing cross correlation between EXELON P 395 and Sphere Entertainment Co, you can compare the effects of market volatilities on EXELON and Sphere Entertainment 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 EXELON with a short position of Sphere Entertainment. Check out your portfolio center. Please also check ongoing floating volatility patterns of EXELON and Sphere Entertainment.
Diversification Opportunities for EXELON and Sphere Entertainment
0.21 | Correlation Coefficient |
Modest diversification
The 3 months correlation between EXELON and Sphere is 0.21. Overlapping area represents the amount of risk that can be diversified away by holding EXELON P 395 and Sphere Entertainment Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sphere Entertainment and EXELON 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 EXELON P 395 are associated (or correlated) with Sphere Entertainment. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sphere Entertainment has no effect on the direction of EXELON i.e., EXELON and Sphere Entertainment go up and down completely randomly.
Pair Corralation between EXELON and Sphere Entertainment
Assuming the 90 days trading horizon EXELON P 395 is expected to under-perform the Sphere Entertainment. But the bond apears to be less risky and, when comparing its historical volatility, EXELON P 395 is 13.97 times less risky than Sphere Entertainment. The bond trades about -0.01 of its potential returns per unit of risk. The Sphere Entertainment Co is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 2,256 in Sphere Entertainment Co on August 27, 2024 and sell it today you would earn a total of 1,773 from holding Sphere Entertainment Co or generate 78.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 95.16% |
| Values | Daily Returns |
EXELON P 395 vs. Sphere Entertainment Co
Performance |
| Timeline |
| EXELON P 5 |
| Sphere Entertainment |
EXELON and Sphere Entertainment Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with EXELON and Sphere Entertainment
The main advantage of trading using opposite EXELON and Sphere Entertainment positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if EXELON position performs unexpectedly, Sphere Entertainment 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 Sphere Entertainment will offset losses from the drop in Sphere Entertainment's long position.| EXELON vs. United Airlines Holdings | EXELON vs. Yuexiu Transport Infrastructure | EXELON vs. Timken Company | EXELON vs. Toro Co |
| Sphere Entertainment vs. Tandem Diabetes Care | Sphere Entertainment vs. Weyco Group | Sphere Entertainment vs. Viemed Healthcare | Sphere Entertainment vs. Amgen Inc |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |