Correlation Between Ascendis Pharma and Sibanye Stillwater
Can any of the company-specific risk be diversified away by investing in both Ascendis Pharma and Sibanye Stillwater 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 Ascendis Pharma and Sibanye Stillwater into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ascendis Pharma AS and Sibanye Stillwater Limited, you can compare the effects of market volatilities on Ascendis Pharma and Sibanye Stillwater 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 Ascendis Pharma with a short position of Sibanye Stillwater. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ascendis Pharma and Sibanye Stillwater.
Diversification Opportunities for Ascendis Pharma and Sibanye Stillwater
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Ascendis and Sibanye is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Ascendis Pharma AS and Sibanye Stillwater Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sibanye Stillwater and Ascendis Pharma 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 Ascendis Pharma AS are associated (or correlated) with Sibanye Stillwater. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sibanye Stillwater has no effect on the direction of Ascendis Pharma i.e., Ascendis Pharma and Sibanye Stillwater go up and down completely randomly.
Pair Corralation between Ascendis Pharma and Sibanye Stillwater
If you would invest (100.00) in Ascendis Pharma AS on November 2, 2024 and sell it today you would earn a total of 100.00 from holding Ascendis Pharma AS or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Ascendis Pharma AS vs. Sibanye Stillwater Limited
Performance |
| Timeline |
| Ascendis Pharma AS |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Good
| Sibanye Stillwater |
Ascendis Pharma and Sibanye Stillwater Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ascendis Pharma and Sibanye Stillwater
The main advantage of trading using opposite Ascendis Pharma and Sibanye Stillwater positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ascendis Pharma position performs unexpectedly, Sibanye Stillwater 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 Sibanye Stillwater will offset losses from the drop in Sibanye Stillwater's long position.| Ascendis Pharma vs. Academy Sports and | Ascendis Pharma vs. Patria Investments Limited | Ascendis Pharma vs. Telecomunicaes Brasileiras SA | Ascendis Pharma vs. Unifique Telecomunicaes SA |
| Sibanye Stillwater vs. Datadog, | Sibanye Stillwater vs. Pure Storage, | Sibanye Stillwater vs. Nordon Indstrias Metalrgicas | Sibanye Stillwater vs. Cardinal Health, |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
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