Pair Correlation Between Stockholm and FTSE 100

This module allows you to analyze existing cross correlation between Stockholm and FTSE 100. You can compare the effects of market volatilities on Stockholm and FTSE 100 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 Stockholm with a short position of FTSE 100. See also your portfolio center. Please also check ongoing floating volatility patterns of Stockholm and FTSE 100.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 Stockholm  vs   FTSE 100
 Performance (%) 
      Timeline 

Pair Volatility

If you would invest  747,477  in FTSE 100 on October 19, 2017 and sell it today you would earn a total of  0.00  from holding FTSE 100 or generate 0.0% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Stockholm and FTSE 100
0.04

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthInsignificant
Accuracy4.55%
ValuesDaily Returns

Diversification

Significant diversification

Overlapping area represents the amount of risk that can be diversified away by holding Stockholm and FTSE 100 in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on FTSE 100 and Stockholm 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 Stockholm are associated (or correlated) with FTSE 100. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FTSE 100 has no effect on the direction of Stockholm i.e. Stockholm and FTSE 100 go up and down completely randomly.
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Comparative Volatility

 Predicted Return Density 
      Returns