Correlation Between Apex Global and T.J. Maxx
Can any of the company-specific risk be diversified away by investing in both Apex Global and T.J. Maxx 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 Apex Global and T.J. Maxx into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Apex Global Brands and The TJX Companies, you can compare the effects of market volatilities on Apex Global and T.J. Maxx 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 Apex Global with a short position of T.J. Maxx. Check out your portfolio center. Please also check ongoing floating volatility patterns of Apex Global and T.J. Maxx.
Diversification Opportunities for Apex Global and T.J. Maxx
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Apex and T.J. is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Apex Global Brands and The TJX Companies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TJX Companies and Apex Global 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 Apex Global Brands are associated (or correlated) with T.J. Maxx. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TJX Companies has no effect on the direction of Apex Global i.e., Apex Global and T.J. Maxx go up and down completely randomly.
Pair Corralation between Apex Global and T.J. Maxx
If you would invest (100.00) in Apex Global Brands on January 25, 2024 and sell it today you would earn a total of 100.00 from holding Apex Global Brands or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Apex Global Brands vs. The TJX Companies
Performance |
| Timeline |
| Apex Global Brands |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| TJX Companies |
Apex Global and T.J. Maxx Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Apex Global and T.J. Maxx
The main advantage of trading using opposite Apex Global and T.J. Maxx positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Apex Global position performs unexpectedly, T.J. Maxx 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 T.J. Maxx will offset losses from the drop in T.J. Maxx's long position.| Apex Global vs. Pearson PLC ADR | Apex Global vs. Acco Brands | Apex Global vs. Peoples Educational Holdings | Apex Global vs. Warner Music Group |
| T.J. Maxx vs. Burlington Stores | T.J. Maxx vs. Guess Inc | T.J. Maxx vs. Urban Outfitters | T.J. Maxx vs. Childrens Place |
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 Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |