Correlation Between BG Staffing and Insperity
Can any of the company-specific risk be diversified away by investing in both BG Staffing and Insperity 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 BG Staffing and Insperity into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BG Staffing and Insperity, you can compare the effects of market volatilities on BG Staffing and Insperity 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 BG Staffing with a short position of Insperity. Check out your portfolio center. Please also check ongoing floating volatility patterns of BG Staffing and Insperity.
Diversification Opportunities for BG Staffing and Insperity
-0.07 | Correlation Coefficient |
Good diversification
The 3 months correlation between BGSF and Insperity is -0.07. Overlapping area represents the amount of risk that can be diversified away by holding BG Staffing and Insperity in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Insperity and BG Staffing 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 BG Staffing are associated (or correlated) with Insperity. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Insperity has no effect on the direction of BG Staffing i.e., BG Staffing and Insperity go up and down completely randomly.
Pair Corralation between BG Staffing and Insperity
Given the investment horizon of 90 days BG Staffing is expected to under-perform the Insperity. In addition to that, BG Staffing is 1.09 times more volatile than Insperity. It trades about -0.35 of its total potential returns per unit of risk. Insperity is currently generating about 0.18 per unit of volatility. If you would invest 10,126 in Insperity on January 20, 2024 and sell it today you would earn a total of 554.00 from holding Insperity or generate 5.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
BG Staffing vs. Insperity
Performance |
| Timeline |
| BG Staffing |
| Insperity |
BG Staffing and Insperity Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BG Staffing and Insperity
The main advantage of trading using opposite BG Staffing and Insperity positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BG Staffing position performs unexpectedly, Insperity 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 Insperity will offset losses from the drop in Insperity's long position.| BG Staffing vs. ExlService Holdings | BG Staffing vs. WNS Holdings | BG Staffing vs. Gartner | BG Staffing vs. The Hackett Group |
| Insperity vs. ExlService Holdings | Insperity vs. WNS Holdings | Insperity vs. Gartner | Insperity vs. The Hackett Group |
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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |