Correlation Between Smurfit and 00108WAF7
Specify exactly 2 symbols:
By analyzing existing cross correlation between Smurfit Kappa Group and AEP TEX INC, you can compare the effects of market volatilities on Smurfit 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 Smurfit with a short position of 00108WAF7. Check out your portfolio center. Please also check ongoing floating volatility patterns of Smurfit and 00108WAF7.
Diversification Opportunities for Smurfit and 00108WAF7
Good diversification
The 3 months correlation between Smurfit and 00108WAF7 is -0.05. Overlapping area represents the amount of risk that can be diversified away by holding Smurfit Kappa Group 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 Smurfit 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 Smurfit Kappa Group 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 Smurfit i.e., Smurfit and 00108WAF7 go up and down completely randomly.
Pair Corralation between Smurfit and 00108WAF7
Assuming the 90 days trading horizon Smurfit is expected to generate 43.84 times less return on investment than 00108WAF7. But when comparing it to its historical volatility, Smurfit Kappa Group is 28.77 times less risky than 00108WAF7. It trades about 0.07 of its potential returns per unit of risk. AEP TEX INC is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 7,330 in AEP TEX INC on September 15, 2024 and sell it today you would earn a total of 338.00 from holding AEP TEX INC or generate 4.61% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 88.24% |
| Values | Daily Returns |
Smurfit Kappa Group vs. AEP TEX INC
Performance |
| Timeline |
| Smurfit Kappa Group |
| AEP TEX INC |
Smurfit and 00108WAF7 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Smurfit and 00108WAF7
The main advantage of trading using opposite Smurfit and 00108WAF7 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Smurfit 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.| Smurfit vs. BJs Restaurants | Smurfit vs. Rave Restaurant Group | Smurfit vs. Funko Inc | Smurfit vs. Academy Sports Outdoors |
| 00108WAF7 vs. China Tontine Wines | 00108WAF7 vs. Diamond Estates Wines | 00108WAF7 vs. Freedom Internet Group | 00108WAF7 vs. Grupo Televisa SAB |
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 Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
Other Complementary Tools
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |