Correlation Between Oppenheimer Holdings and TCJH Old

Can any of the company-specific risk be diversified away by investing in both Oppenheimer Holdings and TCJH Old 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 Oppenheimer Holdings and TCJH Old into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Oppenheimer Holdings and TCJH Old, you can compare the effects of market volatilities on Oppenheimer Holdings and TCJH Old 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 Oppenheimer Holdings with a short position of TCJH Old. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oppenheimer Holdings and TCJH Old.

Diversification Opportunities for Oppenheimer Holdings and TCJH Old

0.0

Correlation Coefficient

Oppenheimer Holdings  TCJH Old

Pay attention - limited upside

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

Pair Corralation between Oppenheimer Holdings and TCJH Old

If you would invest (100.00) in TCJH Old on December 29, 2024 and sell it today you would earn a total of  100.00  from holding TCJH Old or generate -100.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Oppenheimer Holdings  vs.  TCJH Old

Oppenheimer Holdings

Risk-Adjusted Performance

Very Weak

Over the last 90 days Oppenheimer Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest uncertain performance, the Stock's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the company investors.

TCJH Old

Risk-Adjusted Performance

Very Weak

Over the last 90 days TCJH Old has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong forward-looking indicators, TCJH Old is not utilizing all of its potentials. The recent stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with Oppenheimer Holdings and TCJH Old

The main advantage of trading using opposite Oppenheimer Holdings and TCJH Old positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oppenheimer Holdings position performs unexpectedly, TCJH Old 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 TCJH Old will offset losses from the drop in TCJH Old's long position.

The idea behind Oppenheimer Holdings and TCJH Old 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.

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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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.