Correlation Between Rubis SCA and Antin IP

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

Diversification Opportunities for Rubis SCA and Antin IP

0.1
  Correlation Coefficient

Average diversification

The 3 months correlation between Rubis and Antin is 0.1. Overlapping area represents the amount of risk that can be diversified away by holding Rubis SCA and Antin IP SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Antin IP SA and Rubis SCA 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 Rubis SCA are associated (or correlated) with Antin IP. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Antin IP SA has no effect on the direction of Rubis SCA i.e., Rubis SCA and Antin IP go up and down completely randomly.

Pair Corralation between Rubis SCA and Antin IP

Assuming the 90 days trading horizon Rubis SCA is expected to generate 0.69 times more return on investment than Antin IP. However, Rubis SCA is 1.46 times less risky than Antin IP. It trades about 0.02 of its potential returns per unit of risk. Antin IP SA is currently generating about -0.03 per unit of risk. If you would invest  2,068  in Rubis SCA on September 16, 2024 and sell it today you would earn a total of  256.00  from holding Rubis SCA or generate 12.38% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Rubis SCA  vs.  Antin IP SA

 Performance 
       Timeline  
Rubis SCA 

Risk-Adjusted Performance

2 of 100

 
Weak
 
Strong
Weak
Compared to the overall equity markets, risk-adjusted returns on investments in Rubis SCA are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong forward indicators, Rubis SCA is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.
Antin IP SA 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Antin IP SA has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, Antin IP is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Rubis SCA and Antin IP Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Rubis SCA and Antin IP

The main advantage of trading using opposite Rubis SCA and Antin IP positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Rubis SCA position performs unexpectedly, Antin IP 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 Antin IP will offset losses from the drop in Antin IP's long position.
The idea behind Rubis SCA and Antin IP SA 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 Bonds Directory module to find actively traded corporate debentures issued by US companies.

Other Complementary Tools

Portfolio Holdings
Check your current holdings and cash postion to detemine if your portfolio needs rebalancing
ETF Categories
List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Global Markets Map
Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes