Pair Correlation Between Robo Global and Facebook

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

Pair Volatility

Given the investment horizon of 30 days, Robo Global RoboticsAutomation ETF is expected to generate 0.53 times more return on investment than Facebook. However, Robo Global RoboticsAutomation ETF is 1.89 times less risky than Facebook. It trades about 0.22 of its potential returns per unit of risk. Facebook Inc is currently generating about 0.09 per unit of risk. If you would invest  3,970  in Robo Global RoboticsAutomation ETF on October 20, 2017 and sell it today you would earn a total of  130  from holding Robo Global RoboticsAutomation ETF or generate 3.27% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Robo Global and Facebook
0.81

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthStrong
Accuracy95.45%
ValuesDaily Returns

Diversification

Very poor diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Robo Global Robotics

  
15 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Robo Global RoboticsAutomation ETF are ranked lower than 15 (%) of all global equities and portfolios over the last 30 days.

Facebook Inc

  
6 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Facebook Inc are ranked lower than 6 (%) of all global equities and portfolios over the last 30 days.