Correlation Between Csepel Holding and MOL Nyrt
Can any of the company-specific risk be diversified away by investing in both Csepel Holding and MOL Nyrt 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 Csepel Holding and MOL Nyrt into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Csepel Holding Nyrt and MOL Nyrt, you can compare the effects of market volatilities on Csepel Holding and MOL Nyrt 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 Csepel Holding with a short position of MOL Nyrt. Check out your portfolio center. Please also check ongoing floating volatility patterns of Csepel Holding and MOL Nyrt.
Diversification Opportunities for Csepel Holding and MOL Nyrt
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Csepel and MOL is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Csepel Holding Nyrt and MOL Nyrt in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MOL Nyrt and Csepel Holding 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 Csepel Holding Nyrt are associated (or correlated) with MOL Nyrt. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MOL Nyrt has no effect on the direction of Csepel Holding i.e., Csepel Holding and MOL Nyrt go up and down completely randomly.
Pair Corralation between Csepel Holding and MOL Nyrt
If you would invest (100.00) in Csepel Holding Nyrt on September 1, 2024 and sell it today you would earn a total of 100.00 from holding Csepel Holding Nyrt or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Csepel Holding Nyrt vs. MOL Nyrt
Performance |
| Timeline |
| Csepel Holding Nyrt |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| MOL Nyrt |
Csepel Holding and MOL Nyrt Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Csepel Holding and MOL Nyrt
The main advantage of trading using opposite Csepel Holding and MOL Nyrt positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Csepel Holding position performs unexpectedly, MOL Nyrt 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 MOL Nyrt will offset losses from the drop in MOL Nyrt's long position.| Csepel Holding vs. Commerzbank AG | Csepel Holding vs. OTP Bank Nyrt | Csepel Holding vs. Nutex Investments PLC | Csepel Holding vs. NordTelekom Telecommunications Service |
| MOL Nyrt vs. OTP Bank Nyrt | MOL Nyrt vs. NordTelekom Telecommunications Service | MOL Nyrt vs. Delta Technologies Nyrt | MOL Nyrt vs. Nutex Investments PLC |
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 Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
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