Correlation Between Bavarian Nordic and AP Mller
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bavarian Nordic and AP Mller , you can compare the effects of market volatilities on Bavarian Nordic and AP Mller 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 Bavarian Nordic with a short position of AP Mller. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bavarian Nordic and AP Mller.
Diversification Opportunities for Bavarian Nordic and AP Mller
-0.55 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Bavarian and MAERSK-A is -0.55. Overlapping area represents the amount of risk that can be diversified away by holding Bavarian Nordic and AP Mller in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AP Mller and Bavarian Nordic 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 Bavarian Nordic are associated (or correlated) with AP Mller. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AP Mller has no effect on the direction of Bavarian Nordic i.e., Bavarian Nordic and AP Mller go up and down completely randomly.
Pair Corralation between Bavarian Nordic and AP Mller
Assuming the 90 days trading horizon Bavarian Nordic is expected to under-perform the AP Mller. In addition to that, Bavarian Nordic is 1.44 times more volatile than AP Mller . It trades about -0.07 of its total potential returns per unit of risk. AP Mller is currently generating about 0.18 per unit of volatility. If you would invest 1,004,000 in AP Mller on August 28, 2024 and sell it today you would earn a total of 119,000 from holding AP Mller or generate 11.85% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bavarian Nordic vs. AP Mller
Performance |
| Timeline |
| Bavarian Nordic |
| AP Mller |
Bavarian Nordic and AP Mller Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bavarian Nordic and AP Mller
The main advantage of trading using opposite Bavarian Nordic and AP Mller positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bavarian Nordic position performs unexpectedly, AP Mller 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 AP Mller will offset losses from the drop in AP Mller's long position.| Bavarian Nordic vs. Ambu AS | Bavarian Nordic vs. Danske Bank AS | Bavarian Nordic vs. Genmab AS | Bavarian Nordic vs. DSV Panalpina AS |
| AP Mller vs. Danske Bank AS | AP Mller vs. DSV Panalpina AS | AP Mller vs. Vestas Wind Systems | AP Mller vs. Bavarian Nordic |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |