Correlation Between BG Foods and Equitable Holdings
Can any of the company-specific risk be diversified away by investing in both BG Foods and Equitable Holdings 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 BG Foods and Equitable Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BG Foods and Equitable Holdings, you can compare the effects of market volatilities on BG Foods and Equitable Holdings 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 BG Foods with a short position of Equitable Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of BG Foods and Equitable Holdings.
Diversification Opportunities for BG Foods and Equitable Holdings
-0.17 | Correlation Coefficient |
Good diversification
The 3 months correlation between BGS and Equitable is -0.17. Overlapping area represents the amount of risk that can be diversified away by holding BG Foods and Equitable Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Equitable Holdings and BG Foods 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 BG Foods are associated (or correlated) with Equitable Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Equitable Holdings has no effect on the direction of BG Foods i.e., BG Foods and Equitable Holdings go up and down completely randomly.
Pair Corralation between BG Foods and Equitable Holdings
Considering the 90-day investment horizon BG Foods is expected to generate 7.2 times more return on investment than Equitable Holdings. However, BG Foods is 7.2 times more volatile than Equitable Holdings. It trades about 0.02 of its potential returns per unit of risk. Equitable Holdings is currently generating about -0.19 per unit of risk. If you would invest 434.00 in BG Foods on August 27, 2025 and sell it today you would earn a total of 3.00 from holding BG Foods or generate 0.69% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.44% |
| Values | Daily Returns |
BG Foods vs. Equitable Holdings
Performance |
| Timeline |
| BG Foods |
| Equitable Holdings |
BG Foods and Equitable Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BG Foods and Equitable Holdings
The main advantage of trading using opposite BG Foods and Equitable Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BG Foods position performs unexpectedly, Equitable Holdings 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 Equitable Holdings will offset losses from the drop in Equitable Holdings' long position.| BG Foods vs. Electreon Wireless | BG Foods vs. Hana Microelectronics Public | BG Foods vs. 24SevenOffice Group AB | BG Foods vs. Methode Electronics |
| Equitable Holdings vs. BG Foods | Equitable Holdings vs. Kestra Medical Technologies, | Equitable Holdings vs. Profound Medical Corp | Equitable Holdings vs. Journey Medical Corp |
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 Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |