Correlation Between Djurslands Bank and Nordea Invest
Specify exactly 2 symbols:
By analyzing existing cross correlation between Djurslands Bank and Nordea Invest Basis, you can compare the effects of market volatilities on Djurslands Bank and Nordea Invest 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 Djurslands Bank with a short position of Nordea Invest. Check out your portfolio center. Please also check ongoing floating volatility patterns of Djurslands Bank and Nordea Invest.
Diversification Opportunities for Djurslands Bank and Nordea Invest
0.09 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Djurslands and Nordea is 0.09. Overlapping area represents the amount of risk that can be diversified away by holding Djurslands Bank and Nordea Invest Basis in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nordea Invest Basis and Djurslands Bank 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 Djurslands Bank are associated (or correlated) with Nordea Invest. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nordea Invest Basis has no effect on the direction of Djurslands Bank i.e., Djurslands Bank and Nordea Invest go up and down completely randomly.
Pair Corralation between Djurslands Bank and Nordea Invest
Assuming the 90 days trading horizon Djurslands Bank is expected to generate 2.02 times more return on investment than Nordea Invest. However, Djurslands Bank is 2.02 times more volatile than Nordea Invest Basis. It trades about 0.09 of its potential returns per unit of risk. Nordea Invest Basis is currently generating about 0.05 per unit of risk. If you would invest 36,431 in Djurslands Bank on October 13, 2024 and sell it today you would earn a total of 22,569 from holding Djurslands Bank or generate 61.95% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 98.58% |
| Values | Daily Returns |
Djurslands Bank vs. Nordea Invest Basis
Performance |
| Timeline |
| Djurslands Bank |
| Nordea Invest Basis |
Djurslands Bank and Nordea Invest Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Djurslands Bank and Nordea Invest
The main advantage of trading using opposite Djurslands Bank and Nordea Invest positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Djurslands Bank position performs unexpectedly, Nordea Invest 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 Nordea Invest will offset losses from the drop in Nordea Invest's long position.| Djurslands Bank vs. Skjern Bank AS | Djurslands Bank vs. Lollands Bank | Djurslands Bank vs. Kreditbanken AS | Djurslands Bank vs. Fynske Bank AS |
| Nordea Invest vs. Djurslands Bank | Nordea Invest vs. North Media AS | Nordea Invest vs. Sydbank AS | Nordea Invest vs. Nordinvestments AS |
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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |