Correlation Between 81762PAE2 and Saia
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By analyzing existing cross correlation between US81762PAE25 and Saia Inc, you can compare the effects of market volatilities on 81762PAE2 and Saia 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 81762PAE2 with a short position of Saia. Check out your portfolio center. Please also check ongoing floating volatility patterns of 81762PAE2 and Saia.
Diversification Opportunities for 81762PAE2 and Saia
Excellent diversification
The 3 months correlation between 81762PAE2 and Saia is -0.68. Overlapping area represents the amount of risk that can be diversified away by holding US81762PAE25 and Saia Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Saia Inc and 81762PAE2 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 US81762PAE25 are associated (or correlated) with Saia. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Saia Inc has no effect on the direction of 81762PAE2 i.e., 81762PAE2 and Saia go up and down completely randomly.
Pair Corralation between 81762PAE2 and Saia
Assuming the 90 days trading horizon US81762PAE25 is expected to under-perform the Saia. But the bond apears to be less risky and, when comparing its historical volatility, US81762PAE25 is 1.67 times less risky than Saia. The bond trades about -0.15 of its potential returns per unit of risk. The Saia Inc is currently generating about 0.22 of returns per unit of risk over similar time horizon. If you would invest 48,861 in Saia Inc on September 1, 2024 and sell it today you would earn a total of 8,047 from holding Saia Inc or generate 16.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
US81762PAE25 vs. Saia Inc
Performance |
| Timeline |
| US81762PAE25 |
| Saia Inc |
81762PAE2 and Saia Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with 81762PAE2 and Saia
The main advantage of trading using opposite 81762PAE2 and Saia positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if 81762PAE2 position performs unexpectedly, Saia 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 Saia will offset losses from the drop in Saia's long position.| 81762PAE2 vs. Franklin Credit Management | 81762PAE2 vs. Suburban Propane Partners | 81762PAE2 vs. Kinetik Holdings | 81762PAE2 vs. NiSource |
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.
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