North American Correlations

FFN Stock  CAD 6.02  0.12  1.95%   
The current 90-days correlation between North American Financial and JPMorgan Chase Co is 0.1 (i.e., Average diversification). A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as North American moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if North American Financial moves in either direction, the perfectly negatively correlated security will move in the opposite direction.

North American Correlation With Market

Weak diversification

The correlation between North American Financial and DJI is 0.38 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding North American Financial and DJI in the same portfolio, assuming nothing else is changed.
  
The ability to find closely correlated positions to North American could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace North American when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back North American - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling North American Financial to buy it.

Moving together with North Stock

  0.62AAPL Apple Inc CDRPairCorr
  0.72GOOG Alphabet CDR Earnings Call This WeekPairCorr
  0.69BRK Berkshire Hathaway CDRPairCorr
  0.82JPM JPMorgan ChasePairCorr
  0.69WMT Walmart Inc CDRPairCorr
  0.8PPL Pembina Pipeline CorpPairCorr

Related Correlations Analysis

Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.
High positive correlations   
RY-PNRY-PO
BOFAJPM
RYBOFA
RY-PJRY-PM
RY-POJPM
RY-PNRY-PS
  
High negative correlations   
TDRY-PH
TDRY
TDRY-PS
TDBOFA
TDRY-PN
TDRY-PO

Risk-Adjusted Indicators

There is a big difference between North Stock performing well and North American Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze North American's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.
Mean DeviationJensen AlphaSortino RatioTreynor RatioSemi DeviationExpected ShortfallPotential UpsideValue @RiskMaximum Drawdown
JPM  1.02  0.19  0.11  0.50  1.01 
 2.27 
 6.51 
BOFA  1.08  0.24  0.19  0.46  0.86 
 2.83 
 8.00 
RY-PM  0.60  0.00 (0.05) 0.00  0.57 
 1.54 
 3.36 
RY-PS  0.59  0.09  0.00  13.50  0.47 
 1.65 
 4.50 
RY-PO  0.60  0.12  0.04 (11.35) 0.42 
 1.52 
 3.84 
RY-PH  0.29  0.07 (0.06)(0.84) 0.15 
 1.02 
 2.95 
RY  0.66  0.22  0.18 (3.13) 0.37 
 1.53 
 6.17 
RY-PJ  0.57  0.04 (0.07)(0.51) 0.57 
 1.55 
 5.83 
RY-PN  0.51  0.13  0.06 (4.47) 0.33 
 1.35 
 3.26 
TD  0.77  0.02 (0.04) 0.23  1.31 
 1.38 
 7.15 

Be your own money manager

Our tools can tell you how much better you can do entering a position in North American without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

Did you try this?

Run Stocks Directory Now

   

Stocks Directory

Find actively traded stocks across global markets
All  Next Launch Module