Correlation Between Ashtead Technology and Amundi Physical
Can any of the company-specific risk be diversified away by investing in both Ashtead Technology and Amundi Physical 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 Ashtead Technology and Amundi Physical into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ashtead Technology Holdings and Amundi Physical Gold, you can compare the effects of market volatilities on Ashtead Technology and Amundi Physical 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 Ashtead Technology with a short position of Amundi Physical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ashtead Technology and Amundi Physical.
Diversification Opportunities for Ashtead Technology and Amundi Physical
-0.48 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Ashtead and Amundi is -0.48. Overlapping area represents the amount of risk that can be diversified away by holding Ashtead Technology Holdings and Amundi Physical Gold in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amundi Physical Gold and Ashtead Technology 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 Ashtead Technology Holdings are associated (or correlated) with Amundi Physical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amundi Physical Gold has no effect on the direction of Ashtead Technology i.e., Ashtead Technology and Amundi Physical go up and down completely randomly.
Pair Corralation between Ashtead Technology and Amundi Physical
Assuming the 90 days trading horizon Ashtead Technology is expected to generate 21.99 times less return on investment than Amundi Physical. In addition to that, Ashtead Technology is 2.3 times more volatile than Amundi Physical Gold. It trades about 0.01 of its total potential returns per unit of risk. Amundi Physical Gold is currently generating about 0.3 per unit of volatility. If you would invest 978,350 in Amundi Physical Gold on August 16, 2025 and sell it today you would earn a total of 257,663 from holding Amundi Physical Gold or generate 26.34% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Ashtead Technology Holdings vs. Amundi Physical Gold
Performance |
| Timeline |
| Ashtead Technology |
| Amundi Physical Gold |
Ashtead Technology and Amundi Physical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ashtead Technology and Amundi Physical
The main advantage of trading using opposite Ashtead Technology and Amundi Physical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ashtead Technology position performs unexpectedly, Amundi Physical 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 Amundi Physical will offset losses from the drop in Amundi Physical's long position.| Ashtead Technology vs. Enbridge | Ashtead Technology vs. Endo International PLC | Ashtead Technology vs. BE Semiconductor Industries | Ashtead Technology vs. Omega Healthcare Investors |
| Amundi Physical vs. iShares Physical Silver | Amundi Physical vs. Coeur Mining | Amundi Physical vs. Jacquet Metal Service | Amundi Physical vs. Thor Mining PLC |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
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