Calculating the Correlations Between Stocks Using Python
In the previous video, we looked at beta-weighting our deltas to a particular index, the SPY in that case. In addition to beta-weighting, it is also important to look at the correlations between underlyings to get a sense of how valid that beta number is. It is also useful to see if we are overweighting our portfolios to a specific underlying or sector. In this video, I will show a simple way to calculate the correlation between stocks using Python.
Beta-weighted Deltas: • How to Calculate Beta-Weighted Delta
Github: https://github.com/kpmooney/numerical...
Tip Jar: http://paypal.me/kpmooney