Correlation Between Csepel Holding and Total SA
Can any of the company-specific risk be diversified away by investing in both Csepel Holding and Total 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 Csepel Holding and Total SA 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 Total SA, you can compare the effects of market volatilities on Csepel Holding and Total 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 Csepel Holding with a short position of Total SA. Check out your portfolio center. Please also check ongoing floating volatility patterns of Csepel Holding and Total SA.
Diversification Opportunities for Csepel Holding and Total SA
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Csepel and Total is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Csepel Holding Nyrt and Total SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Total SA 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 Total SA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Total SA has no effect on the direction of Csepel Holding i.e., Csepel Holding and Total SA go up and down completely randomly.
Pair Corralation between Csepel Holding and Total SA
If you would invest (100.00) in Total SA on September 3, 2024 and sell it today you would earn a total of 100.00 from holding Total SA or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Csepel Holding Nyrt vs. Total SA
Performance |
| Timeline |
| Csepel Holding Nyrt |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Total SA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Csepel Holding and Total SA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Csepel Holding and Total SA
The main advantage of trading using opposite Csepel Holding and Total SA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Csepel Holding position performs unexpectedly, Total 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 Total SA will offset losses from the drop in Total SA's long position.| Csepel Holding vs. OTP Bank Nyrt | Csepel Holding vs. Commerzbank AG | Csepel Holding vs. NordTelekom Telecommunications Service | Csepel Holding vs. Nutex Investments PLC |
| Total SA vs. NordTelekom Telecommunications Service | Total SA vs. Nutex Investments PLC | Total SA vs. OTP Bank Nyrt | Total SA vs. Delta Technologies Nyrt |
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 Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Stocks Directory Find actively traded stocks across global markets | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |