Correlation Between Bank of America and Aclarion
Can any of the company-specific risk be diversified away by investing in both Bank of America and Aclarion 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 Bank of America and Aclarion into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bank of America and Aclarion, you can compare the effects of market volatilities on Bank of America and Aclarion 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 Bank of America with a short position of Aclarion. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of America and Aclarion.
Diversification Opportunities for Bank of America and Aclarion
0.19 | Correlation Coefficient |
Average diversification
The 3 months correlation between Bank and Aclarion is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding Bank of America and Aclarion in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aclarion and Bank of America 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 Bank of America are associated (or correlated) with Aclarion. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aclarion has no effect on the direction of Bank of America i.e., Bank of America and Aclarion go up and down completely randomly.
Pair Corralation between Bank of America and Aclarion
Considering the 90-day investment horizon Bank of America is expected to generate 0.06 times more return on investment than Aclarion. However, Bank of America is 17.96 times less risky than Aclarion. It trades about -0.02 of its potential returns per unit of risk. Aclarion is currently generating about -0.12 per unit of risk. If you would invest 4,363 in Bank of America on December 28, 2024 and sell it today you would lose (107.00) from holding Bank of America or give up 2.45% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Bank of America vs. Aclarion
Performance |
Timeline |
Bank of America |
Aclarion |
Bank of America and Aclarion Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Bank of America and Aclarion
The main advantage of trading using opposite Bank of America and Aclarion positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of America position performs unexpectedly, Aclarion 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 Aclarion will offset losses from the drop in Aclarion's long position.Bank of America vs. Citigroup | Bank of America vs. Wells Fargo | Bank of America vs. Toronto Dominion Bank | Bank of America vs. Royal Bank of |
Aclarion vs. EUDA Health Holdings | Aclarion vs. FOXO Technologies | Aclarion vs. Healthcare Triangle | Aclarion vs. Mangoceuticals, Common Stock |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Other Complementary Tools
Fundamental Analysis View fundamental data based on most recent published financial statements | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
Global Correlations Find global opportunities by holding instruments from different markets |