Correlation Between PennantPark Floating and Shui On
Can any of the company-specific risk be diversified away by investing in both PennantPark Floating and Shui On 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 PennantPark Floating and Shui On into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PennantPark Floating Rate and Shui On Land, you can compare the effects of market volatilities on PennantPark Floating and Shui On 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 PennantPark Floating with a short position of Shui On. Check out your portfolio center. Please also check ongoing floating volatility patterns of PennantPark Floating and Shui On.
Diversification Opportunities for PennantPark Floating and Shui On
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between PennantPark and Shui is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding PennantPark Floating Rate and Shui On Land in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shui On Land and PennantPark Floating 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 PennantPark Floating Rate are associated (or correlated) with Shui On. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shui On Land has no effect on the direction of PennantPark Floating i.e., PennantPark Floating and Shui On go up and down completely randomly.
Pair Corralation between PennantPark Floating and Shui On
If you would invest 6.00 in Shui On Land on September 26, 2024 and sell it today you would earn a total of 0.00 from holding Shui On Land or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 4.76% |
Values | Daily Returns |
PennantPark Floating Rate vs. Shui On Land
Performance |
Timeline |
PennantPark Floating Rate |
Shui On Land |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
PennantPark Floating and Shui On Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with PennantPark Floating and Shui On
The main advantage of trading using opposite PennantPark Floating and Shui On positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PennantPark Floating position performs unexpectedly, Shui On 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 Shui On will offset losses from the drop in Shui On's long position.PennantPark Floating vs. Gladstone Investment | PennantPark Floating vs. Horizon Technology Finance | PennantPark Floating vs. Stellus Capital Investment | PennantPark Floating vs. Prospect Capital |
Shui On vs. Fidus Investment Corp | Shui On vs. Inhibrx | Shui On vs. PennantPark Floating Rate | Shui On vs. SEI Investments |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
Transaction History View history of all your transactions and understand their impact on performance |