Correlation Between Astoria Investments and Centaur Bci

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

Diversification Opportunities for Astoria Investments and Centaur Bci

-0.6
  Correlation Coefficient

Excellent diversification

The 3 months correlation between Astoria and Centaur is -0.6. Overlapping area represents the amount of risk that can be diversified away by holding Astoria Investments and Centaur Bci Balanced in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Centaur Bci Balanced and Astoria Investments 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 Astoria Investments are associated (or correlated) with Centaur Bci. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Centaur Bci Balanced has no effect on the direction of Astoria Investments i.e., Astoria Investments and Centaur Bci go up and down completely randomly.

Pair Corralation between Astoria Investments and Centaur Bci

Assuming the 90 days trading horizon Astoria Investments is expected to under-perform the Centaur Bci. In addition to that, Astoria Investments is 4.62 times more volatile than Centaur Bci Balanced. It trades about -0.1 of its total potential returns per unit of risk. Centaur Bci Balanced is currently generating about 0.22 per unit of volatility. If you would invest  230.00  in Centaur Bci Balanced on September 13, 2024 and sell it today you would earn a total of  14.00  from holding Centaur Bci Balanced or generate 6.09% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthWeak
Accuracy96.83%
ValuesDaily Returns

Astoria Investments  vs.  Centaur Bci Balanced

 Performance 
       Timeline  
Astoria Investments 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Astoria Investments has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unsteady performance in the last few months, the Stock's technical and fundamental indicators remain rather sound which may send shares a bit higher in January 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.
Centaur Bci Balanced 

Risk-Adjusted Performance

17 of 100

 
Weak
 
Strong
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Centaur Bci Balanced are ranked lower than 17 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong basic indicators, Centaur Bci is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Astoria Investments and Centaur Bci Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Astoria Investments and Centaur Bci

The main advantage of trading using opposite Astoria Investments and Centaur Bci positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Astoria Investments position performs unexpectedly, Centaur Bci 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 Centaur Bci will offset losses from the drop in Centaur Bci's long position.
The idea behind Astoria Investments and Centaur Bci Balanced 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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.

Other Complementary Tools

FinTech Suite
Use AI to screen and filter profitable investment opportunities
Stock Screener
Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook.
Sectors
List of equity sectors categorizing publicly traded companies based on their primary business activities
Top Crypto Exchanges
Search and analyze digital assets across top global cryptocurrency exchanges
CEOs Directory
Screen CEOs from public companies around the world