Correlation Between Catena Media and Ayima Group
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By analyzing existing cross correlation between Catena Media plc and Ayima Group AB, you can compare the effects of market volatilities on Catena Media and Ayima Group 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 Catena Media with a short position of Ayima Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of Catena Media and Ayima Group.
Diversification Opportunities for Catena Media and Ayima Group
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Catena and Ayima is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Catena Media plc and Ayima Group AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ayima Group AB and Catena Media 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 Catena Media plc are associated (or correlated) with Ayima Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ayima Group AB has no effect on the direction of Catena Media i.e., Catena Media and Ayima Group go up and down completely randomly.
Pair Corralation between Catena Media and Ayima Group
If you would invest (100.00) in Ayima Group AB on August 29, 2024 and sell it today you would earn a total of 100.00 from holding Ayima Group AB 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 |
Catena Media plc vs. Ayima Group AB
Performance |
| Timeline |
| Catena Media plc |
| Ayima Group AB |
Catena Media and Ayima Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Catena Media and Ayima Group
The main advantage of trading using opposite Catena Media and Ayima Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Catena Media position performs unexpectedly, Ayima Group 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 Ayima Group will offset losses from the drop in Ayima Group's long position.The idea behind Catena Media plc and Ayima Group AB pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
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