Correlation Between Nordea 1 and Storebrand Global
Specify exactly 2 symbols:
By analyzing existing cross correlation between Nordea 1 and Storebrand Global Solutions, you can compare the effects of market volatilities on Nordea 1 and Storebrand Global 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 Nordea 1 with a short position of Storebrand Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nordea 1 and Storebrand Global.
Diversification Opportunities for Nordea 1 and Storebrand Global
0.2 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Nordea and Storebrand is 0.2. Overlapping area represents the amount of risk that can be diversified away by holding Nordea 1 and Storebrand Global Solutions in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Storebrand Global and Nordea 1 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 Nordea 1 are associated (or correlated) with Storebrand Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Storebrand Global has no effect on the direction of Nordea 1 i.e., Nordea 1 and Storebrand Global go up and down completely randomly.
Pair Corralation between Nordea 1 and Storebrand Global
Assuming the 90 days trading horizon Nordea 1 is expected to generate 1.05 times more return on investment than Storebrand Global. However, Nordea 1 is 1.05 times more volatile than Storebrand Global Solutions. It trades about 0.12 of its potential returns per unit of risk. Storebrand Global Solutions is currently generating about 0.06 per unit of risk. If you would invest 39,963 in Nordea 1 on October 20, 2024 and sell it today you would earn a total of 594.00 from holding Nordea 1 or generate 1.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 94.74% |
| Values | Daily Returns |
Nordea 1 vs. Storebrand Global Solutions
Performance |
| Timeline |
| Nordea 1 |
| Storebrand Global |
Nordea 1 and Storebrand Global Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nordea 1 and Storebrand Global
The main advantage of trading using opposite Nordea 1 and Storebrand Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nordea 1 position performs unexpectedly, Storebrand Global 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 Storebrand Global will offset losses from the drop in Storebrand Global's long position.| Nordea 1 vs. Franklin Floating Rate | Nordea 1 vs. Franklin Floating Rate | Nordea 1 vs. Franklin Floating Rate | Nordea 1 vs. KLP Aksje Fremvoksende |
| Storebrand Global vs. Franklin Floating Rate | Storebrand Global vs. Franklin Floating Rate | Storebrand Global vs. Franklin Floating Rate | Storebrand Global vs. KLP Aksje Fremvoksende |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |