Correlation Between NORDIC HALIBUT and Apple
Can any of the company-specific risk be diversified away by investing in both NORDIC HALIBUT and Apple 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 NORDIC HALIBUT and Apple into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between NORDIC HALIBUT AS and Apple Inc, you can compare the effects of market volatilities on NORDIC HALIBUT and Apple 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 NORDIC HALIBUT with a short position of Apple. Check out your portfolio center. Please also check ongoing floating volatility patterns of NORDIC HALIBUT and Apple.
Diversification Opportunities for NORDIC HALIBUT and Apple
-0.63 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between NORDIC and Apple is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding NORDIC HALIBUT AS and Apple Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apple Inc and NORDIC HALIBUT 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 NORDIC HALIBUT AS are associated (or correlated) with Apple. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apple Inc has no effect on the direction of NORDIC HALIBUT i.e., NORDIC HALIBUT and Apple go up and down completely randomly.
Pair Corralation between NORDIC HALIBUT and Apple
Assuming the 90 days horizon NORDIC HALIBUT AS is expected to under-perform the Apple. In addition to that, NORDIC HALIBUT is 1.92 times more volatile than Apple Inc. It trades about 0.0 of its total potential returns per unit of risk. Apple Inc is currently generating about 0.08 per unit of volatility. If you would invest 13,443 in Apple Inc on September 3, 2024 and sell it today you would earn a total of 8,992 from holding Apple Inc or generate 66.89% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
NORDIC HALIBUT AS vs. Apple Inc
Performance |
| Timeline |
| NORDIC HALIBUT AS |
| Apple Inc |
NORDIC HALIBUT and Apple Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with NORDIC HALIBUT and Apple
The main advantage of trading using opposite NORDIC HALIBUT and Apple positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if NORDIC HALIBUT position performs unexpectedly, Apple 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 Apple will offset losses from the drop in Apple's long position.| NORDIC HALIBUT vs. DICKER DATA LTD | NORDIC HALIBUT vs. DICKS Sporting Goods | NORDIC HALIBUT vs. Cass Information Systems | NORDIC HALIBUT vs. Transport International Holdings |
| Apple vs. TRADEDOUBLER AB SK | Apple vs. MARKET VECTR RETAIL | Apple vs. CANON MARKETING JP | Apple vs. Salesforce |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios |