Correlation Between SUPERVALU INC and Smart Final
Can any of the company-specific risk be diversified away by investing in both SUPERVALU INC and Smart Final 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 SUPERVALU INC and Smart Final into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SUPERVALU INC and Smart Final Stores, you can compare the effects of market volatilities on SUPERVALU INC and Smart Final 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 SUPERVALU INC with a short position of Smart Final. Check out your portfolio center. Please also check ongoing floating volatility patterns of SUPERVALU INC and Smart Final.
Diversification Opportunities for SUPERVALU INC and Smart Final
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between SUPERVALU and Smart is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding SUPERVALU INC and Smart Final Stores in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Smart Final Stores and SUPERVALU INC 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 SUPERVALU INC are associated (or correlated) with Smart Final. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Smart Final Stores has no effect on the direction of SUPERVALU INC i.e., SUPERVALU INC and Smart Final go up and down completely randomly.
Pair Corralation between SUPERVALU INC and Smart Final
If you would invest (100.00) in Smart Final Stores on January 26, 2024 and sell it today you would earn a total of 100.00 from holding Smart Final Stores 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 |
SUPERVALU INC vs. Smart Final Stores
Performance |
| Timeline |
| SUPERVALU INC |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Smart Final Stores |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
SUPERVALU INC and Smart Final Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SUPERVALU INC and Smart Final
The main advantage of trading using opposite SUPERVALU INC and Smart Final positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SUPERVALU INC position performs unexpectedly, Smart Final 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 Smart Final will offset losses from the drop in Smart Final's long position.| SUPERVALU INC vs. Willamette Valley Vineyards | SUPERVALU INC vs. Perseus Mining Limited | SUPERVALU INC vs. Sandstorm Gold Ltd | SUPERVALU INC vs. Westrock Coffee |
| Smart Final vs. NETGEAR | Smart Final vs. Blue Hat Interactive | Smart Final vs. Arrow Electronics | Smart Final vs. Flex |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| 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 | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |