Correlation Between Handelsinvest Defensiv and Sydbank AS
Specify exactly 2 symbols:
By analyzing existing cross correlation between Handelsinvest Defensiv 10 and Sydbank AS, you can compare the effects of market volatilities on Handelsinvest Defensiv and Sydbank AS 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 Handelsinvest Defensiv with a short position of Sydbank AS. Check out your portfolio center. Please also check ongoing floating volatility patterns of Handelsinvest Defensiv and Sydbank AS.
Diversification Opportunities for Handelsinvest Defensiv and Sydbank AS
0.7 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Handelsinvest and Sydbank is 0.7. Overlapping area represents the amount of risk that can be diversified away by holding Handelsinvest Defensiv 10 and Sydbank AS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sydbank AS and Handelsinvest Defensiv 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 Handelsinvest Defensiv 10 are associated (or correlated) with Sydbank AS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sydbank AS has no effect on the direction of Handelsinvest Defensiv i.e., Handelsinvest Defensiv and Sydbank AS go up and down completely randomly.
Pair Corralation between Handelsinvest Defensiv and Sydbank AS
Assuming the 90 days trading horizon Handelsinvest Defensiv 10 is expected to under-perform the Sydbank AS. But the stock apears to be less risky and, when comparing its historical volatility, Handelsinvest Defensiv 10 is 7.15 times less risky than Sydbank AS. The stock trades about -0.31 of its potential returns per unit of risk. The Sydbank AS is currently generating about -0.01 of returns per unit of risk over similar time horizon. If you would invest 35,920 in Sydbank AS on January 26, 2024 and sell it today you would lose (160.00) from holding Sydbank AS or give up 0.45% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Handelsinvest Defensiv 10 vs. Sydbank AS
Performance |
| Timeline |
| Handelsinvest Defensiv |
| Sydbank AS |
Handelsinvest Defensiv and Sydbank AS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Handelsinvest Defensiv and Sydbank AS
The main advantage of trading using opposite Handelsinvest Defensiv and Sydbank AS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Handelsinvest Defensiv position performs unexpectedly, Sydbank AS can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Sydbank AS will offset losses from the drop in Sydbank AS's long position.| Handelsinvest Defensiv vs. Novo Nordisk AS | Handelsinvest Defensiv vs. Nordea Bank Abp | Handelsinvest Defensiv vs. DSV Panalpina AS | Handelsinvest Defensiv vs. AP Mller |
| Sydbank AS vs. Jyske Bank AS | Sydbank AS vs. Tryg AS | Sydbank AS vs. FLSmidth Co | Sydbank AS vs. Nordea Bank Abp |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Other Complementary Tools
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |