Correlation Between Macquarie Group and Goldman Sachs
Can any of the company-specific risk be diversified away by investing in both Macquarie Group and Goldman Sachs 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 Macquarie Group and Goldman Sachs into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Macquarie Group Limited and The Goldman Sachs, you can compare the effects of market volatilities on Macquarie Group and Goldman Sachs 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 Macquarie Group with a short position of Goldman Sachs. Check out your portfolio center. Please also check ongoing floating volatility patterns of Macquarie Group and Goldman Sachs.
Diversification Opportunities for Macquarie Group and Goldman Sachs
-0.43 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Macquarie and Goldman is -0.43. Overlapping area represents the amount of risk that can be diversified away by holding Macquarie Group Limited and The Goldman Sachs in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Goldman Sachs and Macquarie Group 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 Macquarie Group Limited are associated (or correlated) with Goldman Sachs. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Goldman Sachs has no effect on the direction of Macquarie Group i.e., Macquarie Group and Goldman Sachs go up and down completely randomly.
Pair Corralation between Macquarie Group and Goldman Sachs
Assuming the 90 days horizon Macquarie Group Limited is expected to under-perform the Goldman Sachs. In addition to that, Macquarie Group is 1.0 times more volatile than The Goldman Sachs. It trades about -0.08 of its total potential returns per unit of risk. The Goldman Sachs is currently generating about 0.13 per unit of volatility. If you would invest 62,450 in The Goldman Sachs on September 2, 2025 and sell it today you would earn a total of 9,160 from holding The Goldman Sachs or generate 14.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Macquarie Group Limited vs. The Goldman Sachs
Performance |
| Timeline |
| Macquarie Group |
| Goldman Sachs |
Macquarie Group and Goldman Sachs Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Macquarie Group and Goldman Sachs
The main advantage of trading using opposite Macquarie Group and Goldman Sachs positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Macquarie Group position performs unexpectedly, Goldman Sachs 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 Goldman Sachs will offset losses from the drop in Goldman Sachs' long position.| Macquarie Group vs. Morgan Stanley | Macquarie Group vs. Morgan Stanley | Macquarie Group vs. The Charles Schwab | Macquarie Group vs. The Goldman Sachs |
| Goldman Sachs vs. CAREER EDUCATION | Goldman Sachs vs. Uber Technologies | Goldman Sachs vs. Axcelis Technologies | Goldman Sachs vs. ACCSYS TECHPLC EO |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities |