Correlation Between American Express and SANUK
Specify exactly 2 symbols:
By analyzing existing cross correlation between American Express and SANUK 6833 21 NOV 26, you can compare the effects of market volatilities on American Express and SANUK 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 American Express with a short position of SANUK. Check out your portfolio center. Please also check ongoing floating volatility patterns of American Express and SANUK.
Diversification Opportunities for American Express and SANUK
-0.64 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between American and SANUK is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding American Express and SANUK 6833 21 NOV 26 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SANUK 6833 21 and American Express 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 American Express are associated (or correlated) with SANUK. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SANUK 6833 21 has no effect on the direction of American Express i.e., American Express and SANUK go up and down completely randomly.
Pair Corralation between American Express and SANUK
Considering the 90-day investment horizon American Express is expected to generate 6.48 times more return on investment than SANUK. However, American Express is 6.48 times more volatile than SANUK 6833 21 NOV 26. It trades about 0.16 of its potential returns per unit of risk. SANUK 6833 21 NOV 26 is currently generating about -0.04 per unit of risk. If you would invest 26,041 in American Express on September 15, 2024 and sell it today you would earn a total of 4,173 from holding American Express or generate 16.02% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 89.06% |
Values | Daily Returns |
American Express vs. SANUK 6833 21 NOV 26
Performance |
Timeline |
American Express |
SANUK 6833 21 |
American Express and SANUK Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with American Express and SANUK
The main advantage of trading using opposite American Express and SANUK positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if American Express position performs unexpectedly, SANUK 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 SANUK will offset losses from the drop in SANUK's long position.American Express vs. Visa Class A | American Express vs. PayPal Holdings | American Express vs. Upstart Holdings | American Express vs. Mastercard |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |