Correlation Between Jacquet Metal and Jupiter Fund

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

Diversification Opportunities for Jacquet Metal and Jupiter Fund

0.33
  Correlation Coefficient

Weak diversification

The 3 months correlation between Jacquet and Jupiter is 0.33. Overlapping area represents the amount of risk that can be diversified away by holding Jacquet Metal Service and Jupiter Fund Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jupiter Fund Management and Jacquet Metal 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 Jacquet Metal Service are associated (or correlated) with Jupiter Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jupiter Fund Management has no effect on the direction of Jacquet Metal i.e., Jacquet Metal and Jupiter Fund go up and down completely randomly.

Pair Corralation between Jacquet Metal and Jupiter Fund

Assuming the 90 days horizon Jacquet Metal Service is expected to generate 0.64 times more return on investment than Jupiter Fund. However, Jacquet Metal Service is 1.55 times less risky than Jupiter Fund. It trades about 0.01 of its potential returns per unit of risk. Jupiter Fund Management is currently generating about -0.01 per unit of risk. If you would invest  1,629  in Jacquet Metal Service on October 3, 2024 and sell it today you would earn a total of  91.00  from holding Jacquet Metal Service or generate 5.59% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthVery Weak
Accuracy100.0%
ValuesDaily Returns

Jacquet Metal Service  vs.  Jupiter Fund Management

 Performance 
       Timeline  
Jacquet Metal Service 

Risk-Adjusted Performance

8 of 100

 
Weak
 
Strong
Modest
Compared to the overall equity markets, risk-adjusted returns on investments in Jacquet Metal Service are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, Jacquet Metal may actually be approaching a critical reversion point that can send shares even higher in February 2025.
Jupiter Fund Management 

Risk-Adjusted Performance

1 of 100

 
Weak
 
Strong
Very Weak
Compared to the overall equity markets, risk-adjusted returns on investments in Jupiter Fund Management are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, Jupiter Fund is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Jacquet Metal and Jupiter Fund Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Jacquet Metal and Jupiter Fund

The main advantage of trading using opposite Jacquet Metal and Jupiter Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jacquet Metal position performs unexpectedly, Jupiter Fund 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 Jupiter Fund will offset losses from the drop in Jupiter Fund's long position.
The idea behind Jacquet Metal Service and Jupiter Fund Management 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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.

Other Complementary Tools

Portfolio Manager
State of the art Portfolio Manager to monitor and improve performance of your invested capital
Portfolio Volatility
Check portfolio volatility and analyze historical return density to properly model market risk
Financial Widgets
Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins