Correlation Between CA Immobilien and AT S
Can any of the company-specific risk be diversified away by investing in both CA Immobilien and AT S 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 CA Immobilien and AT S into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CA Immobilien Anlagen and AT S Austria, you can compare the effects of market volatilities on CA Immobilien and AT S 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 CA Immobilien with a short position of AT S. Check out your portfolio center. Please also check ongoing floating volatility patterns of CA Immobilien and AT S.
Diversification Opportunities for CA Immobilien and AT S
0.01 | Correlation Coefficient |
Significant diversification
The 3 months correlation between CAI and ATS is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding CA Immobilien Anlagen and AT S Austria in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AT S Austria and CA Immobilien 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 CA Immobilien Anlagen are associated (or correlated) with AT S. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AT S Austria has no effect on the direction of CA Immobilien i.e., CA Immobilien and AT S go up and down completely randomly.
Pair Corralation between CA Immobilien and AT S
Assuming the 90 days trading horizon CA Immobilien Anlagen is expected to under-perform the AT S. In addition to that, CA Immobilien is 1.03 times more volatile than AT S Austria. It trades about -0.17 of its total potential returns per unit of risk. AT S Austria is currently generating about -0.08 per unit of volatility. If you would invest 1,698 in AT S Austria on August 23, 2024 and sell it today you would lose (298.00) from holding AT S Austria or give up 17.55% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
CA Immobilien Anlagen vs. AT S Austria
Performance |
| Timeline |
| CA Immobilien Anlagen |
| AT S Austria |
CA Immobilien and AT S Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CA Immobilien and AT S
The main advantage of trading using opposite CA Immobilien and AT S positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CA Immobilien position performs unexpectedly, AT S 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 AT S will offset losses from the drop in AT S's long position.| CA Immobilien vs. IMMOFINANZ AG | CA Immobilien vs. S IMMO AG | CA Immobilien vs. Wienerberger AG | CA Immobilien vs. Vienna Insurance Group |
| AT S vs. Voestalpine AG | AT S vs. Lenzing Aktiengesellschaft | AT S vs. Andritz AG | AT S vs. OMV Aktiengesellschaft |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
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