Correlation Between YHN Acquisition and Graf Global
Can any of the company-specific risk be diversified away by investing in both YHN Acquisition and Graf Global 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 YHN Acquisition and Graf Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between YHN Acquisition I and Graf Global Corp, you can compare the effects of market volatilities on YHN Acquisition and Graf Global 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 YHN Acquisition with a short position of Graf Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of YHN Acquisition and Graf Global.
Diversification Opportunities for YHN Acquisition and Graf Global
0.37 | Correlation Coefficient |
Weak diversification
The 3 months correlation between YHN and Graf is 0.37. Overlapping area represents the amount of risk that can be diversified away by holding YHN Acquisition I and Graf Global Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Graf Global Corp and YHN Acquisition 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 YHN Acquisition I are associated (or correlated) with Graf Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Graf Global Corp has no effect on the direction of YHN Acquisition i.e., YHN Acquisition and Graf Global go up and down completely randomly.
Pair Corralation between YHN Acquisition and Graf Global
Assuming the 90 days horizon YHN Acquisition I is expected to generate 446.17 times more return on investment than Graf Global. However, YHN Acquisition is 446.17 times more volatile than Graf Global Corp. It trades about 0.05 of its potential returns per unit of risk. Graf Global Corp is currently generating about 0.3 per unit of risk. If you would invest 15.00 in YHN Acquisition I on November 18, 2024 and sell it today you would lose (2.00) from holding YHN Acquisition I or give up 13.33% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 90.48% |
| Values | Daily Returns |
YHN Acquisition I vs. Graf Global Corp
Performance |
| Timeline |
| YHN Acquisition I |
| Graf Global Corp |
YHN Acquisition and Graf Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with YHN Acquisition and Graf Global
The main advantage of trading using opposite YHN Acquisition and Graf Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if YHN Acquisition position performs unexpectedly, Graf Global 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 Graf Global will offset losses from the drop in Graf Global's long position.| YHN Acquisition vs. Distoken Acquisition | YHN Acquisition vs. Voyager Acquisition Corp | YHN Acquisition vs. dMY Squared Technology | YHN Acquisition vs. YHN Acquisition I |
| Graf Global vs. Celsius Holdings | Graf Global vs. Summit Materials | Graf Global vs. Diamond Estates Wines | Graf Global vs. MGP Ingredients |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |