Correlation Between Auxier Focus and Astor Star
Can any of the company-specific risk be diversified away by investing in both Auxier Focus and Astor Star 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 Auxier Focus and Astor Star into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Auxier Focus Fund and Astor Star Fund, you can compare the effects of market volatilities on Auxier Focus and Astor Star 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 Auxier Focus with a short position of Astor Star. Check out your portfolio center. Please also check ongoing floating volatility patterns of Auxier Focus and Astor Star.
Diversification Opportunities for Auxier Focus and Astor Star
-0.01 | Correlation Coefficient |
Good diversification
The 3 months correlation between Auxier and Astor is -0.01. Overlapping area represents the amount of risk that can be diversified away by holding Auxier Focus Fund and Astor Star Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Astor Star Fund and Auxier Focus 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 Auxier Focus Fund are associated (or correlated) with Astor Star. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Astor Star Fund has no effect on the direction of Auxier Focus i.e., Auxier Focus and Astor Star go up and down completely randomly.
Pair Corralation between Auxier Focus and Astor Star
Assuming the 90 days horizon Auxier Focus Fund is expected to generate 0.37 times more return on investment than Astor Star. However, Auxier Focus Fund is 2.71 times less risky than Astor Star. It trades about 0.06 of its potential returns per unit of risk. Astor Star Fund is currently generating about -0.11 per unit of risk. If you would invest 3,288 in Auxier Focus Fund on October 6, 2025 and sell it today you would earn a total of 75.00 from holding Auxier Focus Fund or generate 2.28% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Auxier Focus Fund vs. Astor Star Fund
Performance |
| Timeline |
| Auxier Focus |
| Astor Star Fund |
Auxier Focus and Astor Star Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Auxier Focus and Astor Star
The main advantage of trading using opposite Auxier Focus and Astor Star positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Auxier Focus position performs unexpectedly, Astor Star 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 Astor Star will offset losses from the drop in Astor Star's long position.| Auxier Focus vs. Nuveen Large Cap | Auxier Focus vs. Morningstar Unconstrained Allocation | Auxier Focus vs. Virtus Tactical Allocation | Auxier Focus vs. T Rowe Price |
| Astor Star vs. Kinetics Multi Disciplinary Income | Astor Star vs. Gotham Total Return | Astor Star vs. The Henssler Equity | Astor Star vs. ProShares Trust |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
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