- Companies in United States
- Peer Analysis
This module allows you to analyze existing cross correlation between DOW and Sprint Corporation. You can compare the effects of market volatilities on DOW and Sprint 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 DOW with a short position of Sprint. See also your portfolio center. Please also check ongoing floating volatility patterns of DOW and Sprint.
|Horizon||30 Days Login to change|
Predicted Return Density
DOW vs. Sprint Corp.
Given the investment horizon of 30 days, DOW is expected to under-perform the Sprint. But the index apears to be less risky and, when comparing its historical volatility, DOW is 1.74 times less risky than Sprint. The index trades about -0.11 of its potential returns per unit of risk. The Sprint Corporation is currently generating about -0.06 of returns per unit of risk over similar time horizon. If you would invest 641.00 in Sprint Corporation on November 16, 2018 and sell it today you would lose (44.00) from holding Sprint Corporation or give up 6.86% of portfolio value over 30 days.
Pair Corralation between DOW and Sprint
|Time Period||2 Months [change]|
Diversification Opportunities for DOW and Sprint
Overlapping area represents the amount of risk that can be diversified away by holding DOW and Sprint Corp. in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Sprint and DOW 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 DOW are associated (or correlated) with Sprint. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sprint has no effect on the direction of DOW i.e. DOW and Sprint go up and down completely randomly.