| B3 Stock | | | SEK 82.00 2.80 3.54% |
The correlation of B3 Consulting is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as B3 Consulting moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if B3 Consulting Group moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Good diversification
The correlation between B3 Consulting Group and NYA is -0.09 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding B3 Consulting Group and NYA in the same portfolio, assuming nothing else is changed.
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Trending Equities to better understand how to build diversified portfolios, which includes a position in B3 Consulting Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as
signals in state.
The ability to find closely correlated positions to B3 Consulting could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace B3 Consulting when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back B3 Consulting - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling B3 Consulting Group to buy it.
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.
High positive correlations | | High negative correlations |
Risk-Adjusted IndicatorsThere is a big difference between B3 Consulting Stock performing well and B3 Consulting Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze B3 Consulting's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.
Our tools can tell you how much better you can do entering a position in B3 Consulting without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.