Correlation Between SANDS and 00108WAF7
Specify exactly 2 symbols:
By analyzing existing cross correlation between SANDS CHINA LTD and AEP TEX INC, you can compare the effects of market volatilities on SANDS and 00108WAF7 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 SANDS with a short position of 00108WAF7. Check out your portfolio center. Please also check ongoing floating volatility patterns of SANDS and 00108WAF7.
Diversification Opportunities for SANDS and 00108WAF7
Good diversification
The 3 months correlation between SANDS and 00108WAF7 is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding SANDS CHINA LTD and AEP TEX INC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AEP TEX INC and SANDS 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 SANDS CHINA LTD are associated (or correlated) with 00108WAF7. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AEP TEX INC has no effect on the direction of SANDS i.e., SANDS and 00108WAF7 go up and down completely randomly.
Pair Corralation between SANDS and 00108WAF7
Assuming the 90 days trading horizon SANDS CHINA LTD is expected to generate 0.08 times more return on investment than 00108WAF7. However, SANDS CHINA LTD is 13.21 times less risky than 00108WAF7. It trades about -0.19 of its potential returns per unit of risk. AEP TEX INC is currently generating about -0.04 per unit of risk. If you would invest 9,954 in SANDS CHINA LTD on August 29, 2024 and sell it today you would lose (131.00) from holding SANDS CHINA LTD or give up 1.32% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 76.19% |
| Values | Daily Returns |
SANDS CHINA LTD vs. AEP TEX INC
Performance |
| Timeline |
| SANDS CHINA LTD |
| AEP TEX INC |
SANDS and 00108WAF7 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SANDS and 00108WAF7
The main advantage of trading using opposite SANDS and 00108WAF7 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SANDS position performs unexpectedly, 00108WAF7 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 00108WAF7 will offset losses from the drop in 00108WAF7's long position.| SANDS vs. AEP TEX INC | SANDS vs. US BANK NATIONAL | SANDS vs. Omega Healthcare Investors | SANDS vs. Zoom Video Communications |
| 00108WAF7 vs. US BANK NATIONAL | 00108WAF7 vs. Dupont De Nemours | 00108WAF7 vs. The Travelers Companies | 00108WAF7 vs. Exxon Mobil Corp |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments |