Correlation Between Bactiquant and Dataproces Group
Can any of the company-specific risk be diversified away by investing in both Bactiquant and Dataproces Group 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 Bactiquant and Dataproces Group into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bactiquant AS and Dataproces Group AS, you can compare the effects of market volatilities on Bactiquant and Dataproces Group 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 Bactiquant with a short position of Dataproces Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bactiquant and Dataproces Group.
Diversification Opportunities for Bactiquant and Dataproces Group
-0.76 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Bactiquant and Dataproces is -0.76. Overlapping area represents the amount of risk that can be diversified away by holding Bactiquant AS and Dataproces Group AS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dataproces Group and Bactiquant 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 Bactiquant AS are associated (or correlated) with Dataproces Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dataproces Group has no effect on the direction of Bactiquant i.e., Bactiquant and Dataproces Group go up and down completely randomly.
Pair Corralation between Bactiquant and Dataproces Group
Assuming the 90 days trading horizon Bactiquant AS is expected to under-perform the Dataproces Group. In addition to that, Bactiquant is 1.23 times more volatile than Dataproces Group AS. It trades about -0.16 of its total potential returns per unit of risk. Dataproces Group AS is currently generating about 0.04 per unit of volatility. If you would invest 575.00 in Dataproces Group AS on August 25, 2024 and sell it today you would earn a total of 10.00 from holding Dataproces Group AS or generate 1.74% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bactiquant AS vs. Dataproces Group AS
Performance |
| Timeline |
| Bactiquant AS |
| Dataproces Group |
Bactiquant and Dataproces Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bactiquant and Dataproces Group
The main advantage of trading using opposite Bactiquant and Dataproces Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bactiquant position performs unexpectedly, Dataproces Group 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 Dataproces Group will offset losses from the drop in Dataproces Group's long position.| Bactiquant vs. BankInvest Optima 30 | Bactiquant vs. Gabriel Holding | Bactiquant vs. Maj Invest Glob | Bactiquant vs. Fundamental Invest Stock |
| Dataproces Group vs. Penneo AS | Dataproces Group vs. Bactiquant AS | Dataproces Group vs. cBrain AS | Dataproces Group vs. FOM Technologies AS |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| 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 | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |