Correlation Between Gapwaves and Maven Wireless
Can any of the company-specific risk be diversified away by investing in both Gapwaves and Maven Wireless 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 Gapwaves and Maven Wireless into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gapwaves AB Series and Maven Wireless Sweden, you can compare the effects of market volatilities on Gapwaves and Maven Wireless 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 Gapwaves with a short position of Maven Wireless. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gapwaves and Maven Wireless.
Diversification Opportunities for Gapwaves and Maven Wireless
0.42 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Gapwaves and Maven is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding Gapwaves AB Series and Maven Wireless Sweden in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Maven Wireless Sweden and Gapwaves 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 Gapwaves AB Series are associated (or correlated) with Maven Wireless. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Maven Wireless Sweden has no effect on the direction of Gapwaves i.e., Gapwaves and Maven Wireless go up and down completely randomly.
Pair Corralation between Gapwaves and Maven Wireless
Assuming the 90 days trading horizon Gapwaves AB Series is expected to under-perform the Maven Wireless. In addition to that, Gapwaves is 1.35 times more volatile than Maven Wireless Sweden. It trades about -0.12 of its total potential returns per unit of risk. Maven Wireless Sweden is currently generating about 0.0 per unit of volatility. If you would invest 1,145 in Maven Wireless Sweden on October 26, 2024 and sell it today you would lose (30.00) from holding Maven Wireless Sweden or give up 2.62% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gapwaves AB Series vs. Maven Wireless Sweden
Performance |
| Timeline |
| Gapwaves AB Series |
| Maven Wireless Sweden |
Gapwaves and Maven Wireless Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gapwaves and Maven Wireless
The main advantage of trading using opposite Gapwaves and Maven Wireless positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gapwaves position performs unexpectedly, Maven Wireless 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 Maven Wireless will offset losses from the drop in Maven Wireless' long position.| Gapwaves vs. Sivers IMA Holding | Gapwaves vs. SaltX Technology Holding | Gapwaves vs. Acconeer AB | Gapwaves vs. Fingerprint Cards AB |
| Maven Wireless vs. Checkin Group AB | Maven Wireless vs. Midsummer AB | Maven Wireless vs. Hexatronic Group AB | Maven Wireless vs. Cint Group AB |
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 Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |