Correlation Between DAX Index and Boston Scientific
Specify exactly 2 symbols:
By analyzing existing cross correlation between DAX Index and Boston Scientific, you can compare the effects of market volatilities on DAX Index and Boston Scientific 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 DAX Index with a short position of Boston Scientific. Check out your portfolio center. Please also check ongoing floating volatility patterns of DAX Index and Boston Scientific.
Diversification Opportunities for DAX Index and Boston Scientific
0.47 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between DAX and Boston is 0.47. Overlapping area represents the amount of risk that can be diversified away by holding DAX Index and Boston Scientific in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Boston Scientific and DAX Index 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 DAX Index are associated (or correlated) with Boston Scientific. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Boston Scientific has no effect on the direction of DAX Index i.e., DAX Index and Boston Scientific go up and down completely randomly.
Pair Corralation between DAX Index and Boston Scientific
Assuming the 90 days trading horizon DAX Index is expected to generate 2.26 times less return on investment than Boston Scientific. But when comparing it to its historical volatility, DAX Index is 1.79 times less risky than Boston Scientific. It trades about 0.08 of its potential returns per unit of risk. Boston Scientific is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 4,337 in Boston Scientific on August 29, 2024 and sell it today you would earn a total of 4,113 from holding Boston Scientific or generate 94.84% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
DAX Index vs. Boston Scientific
Performance |
| Timeline |
DAX Index and Boston Scientific Volatility Contrast
Predicted Return Density |
| Returns |
DAX Index
Pair trading matchups for DAX Index
Boston Scientific
Pair trading matchups for Boston Scientific
Pair Trading with DAX Index and Boston Scientific
The main advantage of trading using opposite DAX Index and Boston Scientific positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if DAX Index position performs unexpectedly, Boston Scientific 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 Boston Scientific will offset losses from the drop in Boston Scientific's long position.| DAX Index vs. Gladstone Investment | DAX Index vs. REINET INVESTMENTS SCA | DAX Index vs. CarsalesCom | DAX Index vs. MARKET VECTR RETAIL |
| Boston Scientific vs. Abbott Laboratories | Boston Scientific vs. Medtronic PLC | Boston Scientific vs. Stryker | Boston Scientific vs. Becton Dickinson and |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like |