This module allows you to analyze existing cross correlation between Best Buy Co and Apple. You can compare the effects of market volatilities on Best Buy and Apple 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 Best Buy with a short position of Apple. See also
your portfolio center. Please also check ongoing floating volatility patterns of
Best Buy and
Apple.
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Horizon
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30 Days
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to change
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Comparative Performance
Risk-Adjusted Performance
Compared to the overall equity markets, risk-adjusted returns on investments in Best Buy Co are ranked lower than 20 (%) of all global equities and portfolios over the last 30 days.
Risk-Adjusted Performance
Compared to the overall equity markets, risk-adjusted returns on investments in Apple are ranked lower than 12 (%) of all global equities and portfolios over the last 30 days.
Best Buy and Apple Volatility Contrast
Best Buy Co Inc vs. Apple Inc
Pair Volatility
Considering 30-days investment horizon, Best Buy Co is expected to generate 0.72 times more return on investment than Apple. However, Best Buy Co is 1.39 times less risky than Apple. It trades about 0.3 of its potential returns per unit of risk. Apple is currently generating about 0.18 per unit of risk. If you would invest 4,762 in Best Buy Co on January 24, 2019 and sell it today you would earn a total of 1,282 from holding Best Buy Co or generate 26.92% return on investment over 30 days.
Pair Corralation between Best Buy and Apple
0.65
| Time Period | 2 Months [change] |
| Direction | Positive |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Diversification Opportunities for Best Buy and Apple
Poor diversification
Overlapping area represents the amount of risk that can be diversified away by holding Best Buy Co Inc and Apple Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Apple and Best Buy 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 Best Buy Co are associated (or correlated) with Apple. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apple has no effect on the direction of Best Buy i.e. Best Buy and Apple go up and down completely randomly.
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