Correlation Between Aquagold International and Goldman Sachs

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Aquagold International and Goldman Sachs 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 Aquagold International and Goldman Sachs into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aquagold International and Goldman Sachs Capital, you can compare the effects of market volatilities on Aquagold International and Goldman Sachs 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 Aquagold International with a short position of Goldman Sachs. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aquagold International and Goldman Sachs.

Diversification Opportunities for Aquagold International and Goldman Sachs

0.0
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between Aquagold and Goldman is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Aquagold International and Goldman Sachs Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Goldman Sachs Capital and Aquagold International 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 Aquagold International are associated (or correlated) with Goldman Sachs. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Goldman Sachs Capital has no effect on the direction of Aquagold International i.e., Aquagold International and Goldman Sachs go up and down completely randomly.

Pair Corralation between Aquagold International and Goldman Sachs

If you would invest  2,649  in Goldman Sachs Capital on September 17, 2024 and sell it today you would lose (4.00) from holding Goldman Sachs Capital or give up 0.15% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Aquagold International  vs.  Goldman Sachs Capital

 Performance 
       Timeline  
Aquagold International 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Aquagold International has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong basic indicators, Aquagold International is not utilizing all of its potentials. The latest stock price confusion, may contribute to short-horizon losses for the traders.
Goldman Sachs Capital 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Goldman Sachs Capital has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent fundamental drivers, Goldman Sachs is not utilizing all of its potentials. The current stock price mess, may contribute to short-term losses for the institutional investors.

Aquagold International and Goldman Sachs Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Aquagold International and Goldman Sachs

The main advantage of trading using opposite Aquagold International and Goldman Sachs positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aquagold International position performs unexpectedly, Goldman Sachs 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 Goldman Sachs will offset losses from the drop in Goldman Sachs' long position.
The idea behind Aquagold International and Goldman Sachs Capital pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
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 Dashboard module to portfolio dashboard that provides centralized access to all your investments.

Other Complementary Tools

Portfolio File Import
Quickly import all of your third-party portfolios from your local drive in csv format
Investing Opportunities
Build portfolios using our predefined set of ideas and optimize them against your investing preferences
Correlation Analysis
Reduce portfolio risk simply by holding instruments which are not perfectly correlated
Sync Your Broker
Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors.
Portfolio Analyzer
Portfolio analysis module that provides access to portfolio diagnostics and optimization engine