Correlation Analysis Between Stockholm and BSE

This module allows you to analyze existing cross correlation between Stockholm and BSE. You can compare the effects of market volatilities on Stockholm and BSE 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 BSE. See also your portfolio center. Please also check ongoing floating volatility patterns of Stockholm and BSE.
Horizon     30 Days    Login   to change
Compare Efficiency

Comparative Performance

 Predicted Return Density 

Stockholm  vs.  BSE

 Performance (%) 

Pair Volatility

Assuming 30 trading days horizon, Stockholm is expected to generate 0.96 times more return on investment than BSE. However, Stockholm is 1.04 times less risky than BSE. It trades about 0.37 of its potential returns per unit of risk. BSE is currently generating about 0.03 per unit of risk. If you would invest  52,047  in Stockholm on January 21, 2019 and sell it today you would earn a total of  7,101  from holding Stockholm or generate 13.64% return on investment over 30 days.

Pair Corralation between Stockholm and BSE

Time Period2 Months [change]
ValuesDaily Returns

Diversification Opportunities for Stockholm and BSE

Stockholm diversification synergy

Very weak diversification

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

Thematic Opportunities

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Build portfolios using Macroaxis predefined set of investing ideas. Many of Macroaxis investing ideas can easily outperform a given market. Ideas can also be optimized per your risk profile before portfolio origination is invoked.
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See also your portfolio center. Please also try Fundamentals Matrix module to view fundamentals matrix and analyze how accounts are interrelated and interconnected with each other.