Pair Correlation Between Petrobras Argentina and TOTAL SA

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

Pair Volatility

Considering 30-days investment horizon, Petrobras Argentina SA is expected to generate 1.51 times more return on investment than TOTAL SA. However, Petrobras Argentina is 1.51 times more volatile than TOTAL SA. It trades about 0.25 of its potential returns per unit of risk. TOTAL SA is currently generating about 0.14 per unit of risk. If you would invest  1,060  in Petrobras Argentina SA on March 27, 2017 and sell it today you would earn a total of  108.00  from holding Petrobras Argentina SA or generate 10.19% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Petrobras Argentina and TOTAL SA
0.47

Parameters

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

Diversification

Very weak diversification

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

Comparative Volatility

 Predicted Return Density 
Benchmark  Embed    Returns 

Petrobras Argentina SA

  
17 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Petrobras Argentina SA are ranked lower than 17 (%) of all global equities and portfolios over the last 30 days.

TOTAL SA

  
9 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in TOTAL SA are ranked lower than 9 (%) of all global equities and portfolios over the last 30 days.