Pair Correlation Between Ford Motor and American Airlines

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

Pair Volatility

If you would invest  1,194  in Ford Motor Company on September 23, 2017 and sell it today you would earn a total of  10  from holding Ford Motor Company or generate 0.84% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Ford Motor and American Airlines
0.0

Parameters

Time Period1 Month [change]
DirectionFlat 
StrengthInsignificant
Accuracy4.76%
ValuesDaily Returns

Diversification

Pay attention

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

Comparative Volatility

Ford Motor

  
3 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Ford Motor Company are ranked lower than 3 (%) of all global equities and portfolios over the last 30 days.