Pair Correlation Between All Ords and Stockholm

This module allows you to analyze existing cross correlation between All Ords and Stockholm. You can compare the effects of market volatilities on All Ords and Stockholm 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 All Ords with a short position of Stockholm. See also your portfolio center. Please also check ongoing floating volatility patterns of All Ords and Stockholm.
 Time Horizon     30 Days    Login   to change
 All Ords  vs   Stockholm
 Performance (%) 

Pair Volatility

Assuming 30 trading days horizon, All Ords is expected to generate 0.6 times more return on investment than Stockholm. However, All Ords is 1.66 times less risky than Stockholm. It trades about 0.02 of its potential returns per unit of risk. Stockholm is currently generating about -0.01 per unit of risk. If you would invest  604,400  in All Ords on February 18, 2018 and sell it today you would earn a total of  1,090  from holding All Ords or generate 0.18% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between All Ords and Stockholm


Time Period1 Month [change]
ValuesDaily Returns


Very poor diversification

Overlapping area represents the amount of risk that can be diversified away by holding All Ords and Stockholm in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Stockholm and All Ords 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 All Ords are associated (or correlated) with Stockholm. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Stockholm has no effect on the direction of All Ords i.e. All Ords and Stockholm go up and down completely randomly.

Comparative Volatility

 Predicted Return Density