Correlation Between Vanguard LifeStrategy and UBS Fund
Specify exactly 2 symbols:
By analyzing existing cross correlation between Vanguard LifeStrategy 60 and UBS Fund Solutions, you can compare the effects of market volatilities on Vanguard LifeStrategy and UBS Fund 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 Vanguard LifeStrategy with a short position of UBS Fund. Check out your portfolio center. Please also check ongoing floating volatility patterns of Vanguard LifeStrategy and UBS Fund.
Diversification Opportunities for Vanguard LifeStrategy and UBS Fund
0.49 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Vanguard and UBS is 0.49. Overlapping area represents the amount of risk that can be diversified away by holding Vanguard LifeStrategy 60 and UBS Fund Solutions in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on UBS Fund Solutions and Vanguard LifeStrategy 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 Vanguard LifeStrategy 60 are associated (or correlated) with UBS Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of UBS Fund Solutions has no effect on the direction of Vanguard LifeStrategy i.e., Vanguard LifeStrategy and UBS Fund go up and down completely randomly.
Pair Corralation between Vanguard LifeStrategy and UBS Fund
Assuming the 90 days trading horizon Vanguard LifeStrategy is expected to generate 1.03 times less return on investment than UBS Fund. But when comparing it to its historical volatility, Vanguard LifeStrategy 60 is 1.75 times less risky than UBS Fund. It trades about 0.47 of its potential returns per unit of risk. UBS Fund Solutions is currently generating about 0.28 of returns per unit of risk over similar time horizon. If you would invest 4,967 in UBS Fund Solutions on September 4, 2024 and sell it today you would earn a total of 244.00 from holding UBS Fund Solutions or generate 4.91% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Vanguard LifeStrategy 60 vs. UBS Fund Solutions
Performance |
| Timeline |
| Vanguard LifeStrategy |
| UBS Fund Solutions |
Vanguard LifeStrategy and UBS Fund Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Vanguard LifeStrategy and UBS Fund
The main advantage of trading using opposite Vanguard LifeStrategy and UBS Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Vanguard LifeStrategy position performs unexpectedly, UBS Fund 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 UBS Fund will offset losses from the drop in UBS Fund's long position.| Vanguard LifeStrategy vs. UBS Fund Solutions | Vanguard LifeStrategy vs. Xtrackers II | Vanguard LifeStrategy vs. Xtrackers Nikkei 225 | Vanguard LifeStrategy vs. iShares VII PLC |
| UBS Fund vs. UBS Barclays Liquid | UBS Fund vs. UBS ETF Public | UBS Fund vs. UBS ETF SICAV | UBS Fund vs. UBS Fund Solutions |
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 Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas |