Correlation Between US Commodity and JJEB
Can any of the company-specific risk be diversified away by investing in both US Commodity and JJEB 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 US Commodity and JJEB into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between US Commodity Funds and JJEB, you can compare the effects of market volatilities on US Commodity and JJEB 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 US Commodity with a short position of JJEB. Check out your portfolio center. Please also check ongoing floating volatility patterns of US Commodity and JJEB.
Diversification Opportunities for US Commodity and JJEB
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between DNO and JJEB is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding US Commodity Funds and JJEB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JJEB and US Commodity 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 US Commodity Funds are associated (or correlated) with JJEB. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JJEB has no effect on the direction of US Commodity i.e., US Commodity and JJEB go up and down completely randomly.
Pair Corralation between US Commodity and JJEB
If you would invest (100.00) in JJEB on January 20, 2024 and sell it today you would earn a total of 100.00 from holding JJEB or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
US Commodity Funds vs. JJEB
Performance |
| Timeline |
| US Commodity Funds |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| JJEB |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
US Commodity and JJEB Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with US Commodity and JJEB
The main advantage of trading using opposite US Commodity and JJEB positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if US Commodity position performs unexpectedly, JJEB 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 JJEB will offset losses from the drop in JJEB's long position.| US Commodity vs. Zillow Group Class | US Commodity vs. Northern Lights | US Commodity vs. VanEck Vectors Moodys | US Commodity vs. BZDYF |
| JJEB vs. Akros Monthly Payout | JJEB vs. Valkyrie Bitcoin Miners | JJEB vs. Ishares Lifepath Target | JJEB vs. Tidal Trust II |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Stocks Directory Find actively traded stocks across global markets | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |