Correlation Between Reit 1 and FIBRA Macquarie

Can any of the company-specific risk be diversified away by investing in both Reit 1 and FIBRA Macquarie 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 Reit 1 and FIBRA Macquarie into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Reit 1 and FIBRA Macquarie Mxico, you can compare the effects of market volatilities on Reit 1 and FIBRA Macquarie 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 Reit 1 with a short position of FIBRA Macquarie. Check out your portfolio center. Please also check ongoing floating volatility patterns of Reit 1 and FIBRA Macquarie.

Diversification Opportunities for Reit 1 and FIBRA Macquarie

-0.15

Correlation Coefficient

Reit 1  FIBRA Macquarie

Good diversification

The 3 months correlation between Reit and FIBRA is -0.15. Overlapping area represents the amount of risk that can be diversified away by holding Reit 1 and FIBRA Macquarie Mxico in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FIBRA Macquarie Mxico and Reit 1 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 Reit 1 are associated (or correlated) with FIBRA Macquarie. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FIBRA Macquarie Mxico has no effect on the direction of Reit 1 i.e., Reit 1 and FIBRA Macquarie go up and down completely randomly.

Pair Corralation between Reit 1 and FIBRA Macquarie

Assuming the 90 days horizon Reit 1 is expected to generate 0.4 times more return on investment than FIBRA Macquarie. However, Reit 1 is 2.49 times less risky than FIBRA Macquarie. It trades about 0.14 of its potential returns per unit of risk. FIBRA Macquarie Mxico is currently generating about 0.0 per unit of risk. If you would invest  693.00  in Reit 1 on August 18, 2025 and sell it today you would earn a total of  71.00  from holding Reit 1 or generate 10.25% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.48%
Values	Daily Returns

Reit 1  vs.  FIBRA Macquarie Mxico

Reit 1

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Reit 1 are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile fundamental indicators, Reit 1 may actually be approaching a critical reversion point that can send shares even higher in December 2025.

FIBRA Macquarie Mxico

Risk-Adjusted Performance

Weakest

Over the last 90 days FIBRA Macquarie Mxico has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable fundamental drivers, FIBRA Macquarie is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with Reit 1 and FIBRA Macquarie

The main advantage of trading using opposite Reit 1 and FIBRA Macquarie positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Reit 1 position performs unexpectedly, FIBRA Macquarie 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 FIBRA Macquarie will offset losses from the drop in FIBRA Macquarie's long position.

The idea behind Reit 1 and FIBRA Macquarie Mxico 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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.