Correlation Between Advanced Container and Dimensional International

Can any of the company-specific risk be diversified away by investing in both Advanced Container and Dimensional International 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 Advanced Container and Dimensional International into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Advanced Container Technologies and Dimensional International High, you can compare the effects of market volatilities on Advanced Container and Dimensional International 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 Advanced Container with a short position of Dimensional International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Advanced Container and Dimensional International.

Diversification Opportunities for Advanced Container and Dimensional International

0.0

Correlation Coefficient

Advanced Container  Dimensional International

Pay attention - limited upside

The 3 months correlation between Advanced and Dimensional is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Advanced Container Technologie and Dimensional International High in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dimensional International and Advanced Container 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 Advanced Container Technologies are associated (or correlated) with Dimensional International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dimensional International has no effect on the direction of Advanced Container i.e., Advanced Container and Dimensional International go up and down completely randomly.

Pair Corralation between Advanced Container and Dimensional International

If you would invest  2,805  in Dimensional International High on May 10, 2025 and sell it today you would earn a total of  125.00  from holding Dimensional International High or generate 4.46% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	96.83%
Values	Daily Returns

Advanced Container Technologie  vs.  Dimensional International High

Advanced Container

Risk-Adjusted Performance

Weakest

Over the last 90 days Advanced Container Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong basic indicators, Advanced Container is not utilizing all of its potentials. The recent stock price disturbance, may contribute to short-term losses for the investors.

Dimensional International

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Dimensional International High are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Even with relatively invariable technical indicators, Dimensional International is not utilizing all of its potentials. The latest stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Advanced Container and Dimensional International

The main advantage of trading using opposite Advanced Container and Dimensional International positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Advanced Container position performs unexpectedly, Dimensional International 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 Dimensional International will offset losses from the drop in Dimensional International's long position.

The idea behind Advanced Container Technologies and Dimensional International High pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.