Pair Correlation Between Fossil and Aarons

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

Pair Volatility

Given the investment horizon of 30 days, Fossil Group Inc is expected to under-perform the Aarons. In addition to that, Fossil is 1.64 times more volatile than Aarons Inc. It trades about -0.06 of its total potential returns per unit of risk. Aarons Inc is currently generating about 0.16 per unit of volatility. If you would invest  3,935  in Aarons Inc on September 19, 2017 and sell it today you would earn a total of  215  from holding Aarons Inc or generate 5.46% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Fossil and Aarons
0.02

Parameters

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

Diversification

Significant diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Fossil Group Inc

  
0 

Risk-Adjusted Performance

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

Aarons Inc

  
10 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Aarons Inc are ranked lower than 10 (%) of all global equities and portfolios over the last 30 days.