Correlation Analysis Between Bunge and Archer Daniels

Analyzing existing cross correlation between Bunge Limited and Archer Daniels Midland Company. You can compare the effects of market volatilities on Bunge and Archer Daniels 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 Bunge with a short position of Archer Daniels. See also your portfolio center. Please also check ongoing floating volatility patterns of Bunge and Archer Daniels.
Horizon     30 Days    Login   to change
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Comparative Performance

Bunge Limited  
22

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bunge Limited are ranked lower than 2 (%) of all global equities and portfolios over the last 30 days. In spite of rather sound fundamental drivers, Bunge is not utilizing all of its potentials. The new stock price tumult, may contribute to shorter-term losses for the shareholders.
Archer Daniels Midland  
00

Risk-Adjusted Performance

Over the last 30 days Archer Daniels Midland Company has generated negative risk-adjusted returns adding no value to investors with long positions. Even with considerably steady technical indicators, Archer Daniels is not utilizing all of its potentials. The current stock price chaos, may contribute to medium term losses for the stakeholders.

Bunge and Archer Daniels Volatility Contrast

 Predicted Return Density 
    
  Returns 

Bunge Limited  vs.  Archer Daniels Midland Company

 Performance (%) 
    
  Timeline 

Pair Volatility

If you would invest  5,464  in Bunge Limited on December 23, 2019 and sell it today you would earn a total of  124.00  from holding Bunge Limited or generate 2.27% return on investment over 30 days.

Pair Corralation between Bunge and Archer Daniels

0.0
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy1.64%
ValuesDaily Returns

Diversification Opportunities for Bunge and Archer Daniels

Bunge Limited diversification synergy

Pay attention

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