Correlation Between Griffon and FlyExclusive,

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

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

Diversification Opportunities for Griffon and FlyExclusive,

-0.32

Correlation Coefficient

Griffon  FlyExclusive,

Very good diversification

The 3 months correlation between Griffon and FlyExclusive, is -0.32. Overlapping area represents the amount of risk that can be diversified away by holding Griffon and flyExclusive, in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on flyExclusive, and Griffon 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 Griffon are associated (or correlated) with FlyExclusive,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of flyExclusive, has no effect on the direction of Griffon i.e., Griffon and FlyExclusive, go up and down completely randomly.

Pair Corralation between Griffon and FlyExclusive,

Considering the 90-day investment horizon Griffon is expected to generate 0.82 times more return on investment than FlyExclusive,. However, Griffon is 1.21 times less risky than FlyExclusive,. It trades about 0.04 of its potential returns per unit of risk. flyExclusive, is currently generating about -0.04 per unit of risk. If you would invest  6,885  in Griffon on September 26, 2024 and sell it today you would earn a total of  377.00  from holding Griffon or generate 5.48% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Griffon  vs.  flyExclusive,

Griffon

Risk-Adjusted Performance

3 of 100

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Griffon are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite nearly weak technical and fundamental indicators, Griffon may actually be approaching a critical reversion point that can send shares even higher in January 2025.

flyExclusive,

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days flyExclusive, has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest abnormal 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.

Pair Trading with Griffon and FlyExclusive,

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

The idea behind Griffon and flyExclusive, 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.