Correlation Between Comp SA and Beta MWIG40TR
Specify exactly 2 symbols:
By analyzing existing cross correlation between Comp SA and Beta mWIG40TR Portfelowy, you can compare the effects of market volatilities on Comp SA and Beta MWIG40TR 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 Comp SA with a short position of Beta MWIG40TR. Check out your portfolio center. Please also check ongoing floating volatility patterns of Comp SA and Beta MWIG40TR.
Diversification Opportunities for Comp SA and Beta MWIG40TR
0.01 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Comp and Beta is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding Comp SA and Beta mWIG40TR Portfelowy in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Beta mWIG40TR Portfelowy and Comp SA 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 Comp SA are associated (or correlated) with Beta MWIG40TR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Beta mWIG40TR Portfelowy has no effect on the direction of Comp SA i.e., Comp SA and Beta MWIG40TR go up and down completely randomly.
Pair Corralation between Comp SA and Beta MWIG40TR
Assuming the 90 days trading horizon Comp SA is expected to generate 1.69 times more return on investment than Beta MWIG40TR. However, Comp SA is 1.69 times more volatile than Beta mWIG40TR Portfelowy. It trades about 0.12 of its potential returns per unit of risk. Beta mWIG40TR Portfelowy is currently generating about 0.09 per unit of risk. If you would invest 4,490 in Comp SA on September 1, 2024 and sell it today you would earn a total of 7,360 from holding Comp SA or generate 163.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 98.61% |
| Values | Daily Returns |
Comp SA vs. Beta mWIG40TR Portfelowy
Performance |
| Timeline |
| Comp SA |
| Beta mWIG40TR Portfelowy |
Comp SA and Beta MWIG40TR Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Comp SA and Beta MWIG40TR
The main advantage of trading using opposite Comp SA and Beta MWIG40TR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Comp SA position performs unexpectedly, Beta MWIG40TR 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 Beta MWIG40TR will offset losses from the drop in Beta MWIG40TR's long position.| Comp SA vs. Asseco Business Solutions | Comp SA vs. Detalion Games SA | Comp SA vs. Asseco South Eastern | Comp SA vs. CFI Holding SA |
| Beta MWIG40TR vs. Asseco Business Solutions | Beta MWIG40TR vs. Detalion Games SA | Beta MWIG40TR vs. Asseco South Eastern | Beta MWIG40TR vs. CFI Holding SA |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk |