Pair Correlation Between American Airlines and Wilshire US

This module allows you to analyze existing cross correlation between American Airlines Group Inc and Wilshire US Large Cap Value Ind. You can compare the effects of market volatilities on American Airlines and Wilshire US 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 Airlines with a short position of Wilshire US. See also your portfolio center. Please also check ongoing floating volatility patterns of American Airlines and Wilshire US.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 American Airlines Group Inc  vs   Wilshire US Large Cap Value In
 Performance (%) 
      Timeline 

Pair Volatility

Considering 30-days investment horizon, American Airlines Group Inc is expected to under-perform the Wilshire US. In addition to that, American Airlines is 4.92 times more volatile than Wilshire US Large Cap Value Ind. It trades about -0.17 of its total potential returns per unit of risk. Wilshire US Large Cap Value Ind is currently generating about -0.03 per unit of volatility. If you would invest  502,790  in Wilshire US Large Cap Value Ind on October 24, 2017 and sell it today you would lose (1,240)  from holding Wilshire US Large Cap Value Ind or give up 0.25% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between American Airlines and Wilshire US
0.1

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Diversification

Average diversification

Overlapping area represents the amount of risk that can be diversified away by holding American Airlines Group Inc and Wilshire US Large Cap Value In in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Wilshire US Large and American Airlines 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 Airlines Group Inc are associated (or correlated) with Wilshire US. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Wilshire US Large has no effect on the direction of American Airlines i.e. American Airlines and Wilshire US go up and down completely randomly.
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Comparative Volatility

 Predicted Return Density 
      Returns