Correlation Between Affiliated Managers and Apollo Global

Can any of the company-specific risk be diversified away by investing in both Affiliated Managers and Apollo Global 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 Affiliated Managers and Apollo Global into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Affiliated Managers Group, and Apollo Global Management, you can compare the effects of market volatilities on Affiliated Managers and Apollo Global 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 Affiliated Managers with a short position of Apollo Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Affiliated Managers and Apollo Global.

Diversification Opportunities for Affiliated Managers and Apollo Global

0.51

Correlation Coefficient

Affiliated Managers  Apollo Global

Very weak diversification

The 3 months correlation between Affiliated and Apollo is 0.51. Overlapping area represents the amount of risk that can be diversified away by holding Affiliated Managers Group, and Apollo Global Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apollo Global Management and Affiliated Managers 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 Affiliated Managers Group, are associated (or correlated) with Apollo Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apollo Global Management has no effect on the direction of Affiliated Managers i.e., Affiliated Managers and Apollo Global go up and down completely randomly.

Pair Corralation between Affiliated Managers and Apollo Global

Given the investment horizon of 90 days Affiliated Managers Group, is expected to generate 2.07 times more return on investment than Apollo Global. However, Affiliated Managers is 2.07 times more volatile than Apollo Global Management. It trades about 0.18 of its potential returns per unit of risk. Apollo Global Management is currently generating about 0.05 per unit of risk. If you would invest  1,687  in Affiliated Managers Group, on July 8, 2025 and sell it today you would earn a total of  149.00  from holding Affiliated Managers Group, or generate 8.83% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	100.0%
Values	Daily Returns

Affiliated Managers Group,  vs.  Apollo Global Management

Affiliated Managers

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Affiliated Managers Group, are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. Despite somewhat weak basic indicators, Affiliated Managers may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Apollo Global Management

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Apollo Global Management are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively stable basic indicators, Apollo Global is not utilizing all of its potentials. The recent stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with Affiliated Managers and Apollo Global

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

The idea behind Affiliated Managers Group, and Apollo Global Management 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.

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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 Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.