Correlation Between Julius Baer and Airesis SA
Can any of the company-specific risk be diversified away by investing in both Julius Baer and Airesis SA 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 Julius Baer and Airesis SA into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Julius Baer Gruppe and Airesis SA, you can compare the effects of market volatilities on Julius Baer and Airesis SA 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 Julius Baer with a short position of Airesis SA. Check out your portfolio center. Please also check ongoing floating volatility patterns of Julius Baer and Airesis SA.
Diversification Opportunities for Julius Baer and Airesis SA
-0.89 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Julius and Airesis is -0.89. Overlapping area represents the amount of risk that can be diversified away by holding Julius Baer Gruppe and Airesis SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Airesis SA and Julius Baer 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 Julius Baer Gruppe are associated (or correlated) with Airesis SA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Airesis SA has no effect on the direction of Julius Baer i.e., Julius Baer and Airesis SA go up and down completely randomly.
Pair Corralation between Julius Baer and Airesis SA
Assuming the 90 days trading horizon Julius Baer Gruppe is expected to generate 0.15 times more return on investment than Airesis SA. However, Julius Baer Gruppe is 6.78 times less risky than Airesis SA. It trades about 0.01 of its potential returns per unit of risk. Airesis SA is currently generating about 0.0 per unit of risk. If you would invest 5,645 in Julius Baer Gruppe on August 24, 2024 and sell it today you would lose (15.00) from holding Julius Baer Gruppe or give up 0.27% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 84.54% |
| Values | Daily Returns |
Julius Baer Gruppe vs. Airesis SA
Performance |
| Timeline |
| Julius Baer Gruppe |
| Airesis SA |
Julius Baer and Airesis SA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Julius Baer and Airesis SA
The main advantage of trading using opposite Julius Baer and Airesis SA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Julius Baer position performs unexpectedly, Airesis SA 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 Airesis SA will offset losses from the drop in Airesis SA's long position.| Julius Baer vs. Bachem Holding AG | Julius Baer vs. Kudelski | Julius Baer vs. Alpine Select AG | Julius Baer vs. BB Biotech AG |
| Airesis SA vs. Ascom Holding AG | Airesis SA vs. Bellevue Group AG | Airesis SA vs. Cicor Technologies | Airesis SA vs. Adval Tech Holding |
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 Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
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