Correlation Between Natixis ETF and Innovator Capital
Can any of the company-specific risk be diversified away by investing in both Natixis ETF and Innovator Capital at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Natixis ETF and Innovator Capital into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Natixis ETF Trust and Innovator Capital Management, you can compare the effects of market volatilities on Natixis ETF and Innovator Capital 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 Natixis ETF with a short position of Innovator Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Natixis ETF and Innovator Capital.
Diversification Opportunities for Natixis ETF and Innovator Capital
0.84 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Natixis and Innovator is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding Natixis ETF Trust and Innovator Capital Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Innovator Capital and Natixis ETF 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 Natixis ETF Trust are associated (or correlated) with Innovator Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Innovator Capital has no effect on the direction of Natixis ETF i.e., Natixis ETF and Innovator Capital go up and down completely randomly.
Pair Corralation between Natixis ETF and Innovator Capital
If you would invest 3,443 in Natixis ETF Trust on August 30, 2024 and sell it today you would earn a total of 52.00 from holding Natixis ETF Trust or generate 1.51% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 4.35% |
| Values | Daily Returns |
Natixis ETF Trust vs. Innovator Capital Management
Performance |
| Timeline |
| Natixis ETF Trust |
| Innovator Capital |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Natixis ETF and Innovator Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Natixis ETF and Innovator Capital
The main advantage of trading using opposite Natixis ETF and Innovator Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Natixis ETF position performs unexpectedly, Innovator Capital 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 Innovator Capital will offset losses from the drop in Innovator Capital's long position.| Natixis ETF vs. JPMorgan BetaBuilders International | Natixis ETF vs. JPMorgan Core Plus | Natixis ETF vs. JPMorgan BetaBuilders Canada | Natixis ETF vs. JPMorgan Emerging Markets |
| Innovator Capital vs. ProShares VIX Mid Term | Innovator Capital vs. ProShares VIX Short Term | Innovator Capital vs. iPath Series B | Innovator Capital vs. ProShares Short Russell2000 |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Stocks Directory Find actively traded stocks across global markets | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |