Pair Correlation Between Computer Task and Genpact Limited

This module allows you to analyze existing cross correlation between Computer Task Group Incorporated and Genpact Limited. You can compare the effects of market volatilities on Computer Task and Genpact Limited 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 Computer Task with a short position of Genpact Limited. See also your portfolio center. Please also check ongoing floating volatility patterns of Computer Task and Genpact Limited.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 Computer Task Group Incorporat  vs   Genpact Limited
 Performance (%) 
      Timeline 

Pair Volatility

Considering 30-days investment horizon, Computer Task Group Incorporated is expected to under-perform the Genpact Limited. In addition to that, Computer Task is 1.01 times more volatile than Genpact Limited. It trades about -0.11 of its total potential returns per unit of risk. Genpact Limited is currently generating about 0.01 per unit of volatility. If you would invest  3,222  in Genpact Limited on November 17, 2017 and sell it today you would lose (17)  from holding Genpact Limited or give up 0.53% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between Computer Task and Genpact Limited
-0.23

Parameters

Time Period1 Month [change]
DirectionNegative 
StrengthInsignificant
Accuracy3.92%
ValuesDaily Returns

Diversification

Very good diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Computer Task Group

  
0 

Risk-Adjusted Performance

Over the last 30 days Computer Task Group Incorporated has generated negative risk-adjusted returns adding no value to investors with long positions.

Computer Task Group Incorporated

Pair trading matchups for Computer Task

Genpact Limited

  
0 

Risk-Adjusted Performance

Over the last 30 days Genpact Limited has generated negative risk-adjusted returns adding no value to investors with long positions.