Northern Trust Correlations

NTRS Stock

USD 86.01 4.57 5.05%

The current 90-days correlation between Northern Trust and The Bank of is 0.86 (i.e., Very poor diversification). The correlation of Northern Trust is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak. If the correlation is 0, the equities are not correlated; they are entirely random.

Northern Trust Correlation With Market

Very poor diversification

The correlation between Northern Trust and DJI is 0.82 (i.e., Very poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Northern Trust and DJI in the same portfolio, assuming nothing else is changed.

Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Northern Trust. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.

For more information on how to buy Northern Stock please use our How to Invest in Northern Trust guide.

Moving together with Northern Stock

0.89	BN	Brookfield Corp	Pair Corr
0.71	BX	Blackstone Group	Pair Corr
0.78	CG	Carlyle Group	Pair Corr
0.96	GS	Goldman Sachs Group	Pair Corr
0.7	MA	Mastercard	Pair Corr
0.83	MC	Moelis	Pair Corr
0.94	MS	Morgan Stanley Earnings Call This Week	Pair Corr
0.83	PX	P10 Inc	Pair Corr
0.73	QD	Qudian Inc	Pair Corr
0.71	RC	Ready Capital Corp	Pair Corr
0.89	RM	Regional Management Corp	Pair Corr
0.83	SF	Stifel Financial	Pair Corr
0.84	VCTR	Victory Capital Holdings	Pair Corr
0.71	GCMGW	GCM Grosvenor	Pair Corr
0.79	EARN	Ellington Residential	Pair Corr

Moving against Northern Stock

0.39	DB	Deutsche Bank AG	Pair Corr
0.65	TW	Tradeweb Markets	Pair Corr
0.42	DMYY	dMY Squared Technology	Pair Corr
0.6	DYCQ	DT Cloud Acquisition	Pair Corr
0.51	EMCGR	Embrace Change Acqui	Pair Corr
0.45	DISTR	Distoken Acquisition	Pair Corr
0.42	GDSTW	Goldenstone Acquisition	Pair Corr
0.36	EMCGW	Embrace Change Acqui	Pair Corr
0.33	DISTW	Distoken Acquisition	Pair Corr

Related Correlations Analysis

	BK	IVZ	BEN	TROW	STT	AMP	FOCS	SEIC	AMK
BK		0.43	0.58	0.04	0.36	0.36	0.0	0.28	0.0	BK
IVZ	0.43		0.74	0.85	0.93	0.89	0.0	0.91	0.0	IVZ
BEN	0.58	0.74		0.54	0.67	0.61	0.0	0.65	0.0	BEN
TROW	0.04	0.85	0.54		0.9	0.9	0.0	0.91	0.0	TROW
STT	0.36	0.93	0.67	0.9		0.95	0.0	0.93	0.0	STT
AMP	0.36	0.89	0.61	0.9	0.95		0.0	0.9	0.0	AMP
FOCS	0.0	0.0	0.0	0.0	0.0	0.0		0.0	0.0	FOCS
SEIC	0.28	0.91	0.65	0.91	0.93	0.9	0.0		0.0	SEIC
AMK	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0		AMK
	BK	IVZ	BEN	TROW	STT	AMP	FOCS	SEIC	AMK

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

AMP	+ 0.95	STT
STT	+ 0.93	IVZ
SEIC	+ 0.93	STT
SEIC	+ 0.91	IVZ
SEIC	+ 0.91	TROW
STT	+ 0.9	TROW

High negative correlations

AMK	- 0.0	SEIC
AMK	- 0.0	FOCS
SEIC	- 0.0	FOCS
AMK	- 0.0	AMP
FOCS	- 0.0	AMP
AMK	- 0.0	STT

Risk-Adjusted Indicators

There is a big difference between Northern Stock performing well and Northern Trust 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 Northern Trust'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 Deviation	Jensen Alpha	Treynor Ratio	Potential Upside	Value @Risk	Maximum Drawdown
BK	1.27	0.17	(0.04)	1.97	(3.24)	13.16
IVZ	1.92	(0.13)	(0.24)	2.83	(4.63)	20.80
BEN	1.42	(0.01)	(0.17)	2.25	(2.87)	17.96
TROW	1.35	(0.26)	(0.38)	1.91	(3.80)	11.57
STT	1.42	(0.11)	(0.24)	2.38	(3.91)	12.08
AMP	1.49	(0.09)	(0.22)	2.19	(4.75)	10.95
FOCS	0.00	0.00	0.00	0.00	0.00	0.00
SEIC	1.07	(0.09)	(0.25)	2.10	(3.04)	8.98
AMK	0.00	0.00	0.00	0.00	0.00	0.00

Northern Trust Corporate Management

Daniel CFA	Executive Management	Profile
Ian Headon	Head Services	Profile
Jennifer CFA	Senior Relations	Profile
K Mannard	Chief Officer	Profile

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

Feedback Blog

Made with optimal in San Francisco

2024 Macroaxis LLC