Correlation Between Jyske Bank and Ameriprise Financial
Can any of the company-specific risk be diversified away by investing in both Jyske Bank and Ameriprise Financial at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Jyske Bank and Ameriprise Financial into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jyske Bank AS and Ameriprise Financial, you can compare the effects of market volatilities on Jyske Bank and Ameriprise Financial 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 Jyske Bank with a short position of Ameriprise Financial. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jyske Bank and Ameriprise Financial.
Diversification Opportunities for Jyske Bank and Ameriprise Financial
-0.68 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Jyske and Ameriprise is -0.68. Overlapping area represents the amount of risk that can be diversified away by holding Jyske Bank AS and Ameriprise Financial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ameriprise Financial and Jyske Bank 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 Jyske Bank AS are associated (or correlated) with Ameriprise Financial. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ameriprise Financial has no effect on the direction of Jyske Bank i.e., Jyske Bank and Ameriprise Financial go up and down completely randomly.
Pair Corralation between Jyske Bank and Ameriprise Financial
Assuming the 90 days trading horizon Jyske Bank is expected to generate 324.0 times less return on investment than Ameriprise Financial. In addition to that, Jyske Bank is 1.06 times more volatile than Ameriprise Financial. It trades about 0.0 of its total potential returns per unit of risk. Ameriprise Financial is currently generating about 0.12 per unit of volatility. If you would invest 31,484 in Ameriprise Financial on September 12, 2024 and sell it today you would earn a total of 23,181 from holding Ameriprise Financial or generate 73.63% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 95.76% |
| Values | Daily Returns |
Jyske Bank AS vs. Ameriprise Financial
Performance |
| Timeline |
| Jyske Bank AS |
| Ameriprise Financial |
Jyske Bank and Ameriprise Financial Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jyske Bank and Ameriprise Financial
The main advantage of trading using opposite Jyske Bank and Ameriprise Financial positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jyske Bank position performs unexpectedly, Ameriprise Financial 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 Ameriprise Financial will offset losses from the drop in Ameriprise Financial's long position.| Jyske Bank vs. Royal Bank of | Jyske Bank vs. Neometals | Jyske Bank vs. Coor Service Management | Jyske Bank vs. Fidelity Sustainable USD |
| Ameriprise Financial vs. Hong Kong Land | Ameriprise Financial vs. Neometals | Ameriprise Financial vs. Coor Service Management | Ameriprise Financial vs. Fidelity Sustainable USD |
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 Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Other Complementary Tools
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |