Correlation Between Premier Hldg and AGCO
Can any of the company-specific risk be diversified away by investing in both Premier Hldg and AGCO 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 Premier Hldg and AGCO into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Premier Hldg Corp and AGCO Corporation, you can compare the effects of market volatilities on Premier Hldg and AGCO 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 Premier Hldg with a short position of AGCO. Check out your portfolio center. Please also check ongoing floating volatility patterns of Premier Hldg and AGCO.
Diversification Opportunities for Premier Hldg and AGCO
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Premier and AGCO is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Premier Hldg Corp and AGCO Corp. in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AGCO and Premier Hldg 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 Premier Hldg Corp are associated (or correlated) with AGCO. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AGCO has no effect on the direction of Premier Hldg i.e., Premier Hldg and AGCO go up and down completely randomly.
Pair Corralation between Premier Hldg and AGCO
If you would invest 11,262 in AGCO Corporation on January 18, 2024 and sell it today you would earn a total of 445.00 from holding AGCO Corporation or generate 3.95% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.81% |
| Values | Daily Returns |
Premier Hldg Corp vs. AGCO Corp.
Performance |
| Timeline |
| Premier Hldg Corp |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| AGCO |
Premier Hldg and AGCO Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Premier Hldg and AGCO
The main advantage of trading using opposite Premier Hldg and AGCO positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Premier Hldg position performs unexpectedly, AGCO 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 AGCO will offset losses from the drop in AGCO's long position.| Premier Hldg vs. National Beverage Corp | Premier Hldg vs. Oatly Group AB | Premier Hldg vs. Fomento Economico Mexicano | Premier Hldg vs. Catalyst Pharmaceuticals |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |