Correlation Between DAX Index and Panasonic
Specify exactly 2 symbols:
By analyzing existing cross correlation between DAX Index and Panasonic, you can compare the effects of market volatilities on DAX Index and Panasonic 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 Panasonic. Check out your portfolio center. Please also check ongoing floating volatility patterns of DAX Index and Panasonic.
Diversification Opportunities for DAX Index and Panasonic
Good diversification
The 3 months correlation between DAX and Panasonic is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding DAX Index and Panasonic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Panasonic 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 Panasonic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Panasonic has no effect on the direction of DAX Index i.e., DAX Index and Panasonic go up and down completely randomly.
Pair Corralation between DAX Index and Panasonic
Assuming the 90 days trading horizon DAX Index is expected to generate 0.24 times more return on investment than Panasonic. However, DAX Index is 4.11 times less risky than Panasonic. It trades about 0.05 of its potential returns per unit of risk. Panasonic is currently generating about 0.0 per unit of risk. If you would invest 1,860,816 in DAX Index on September 1, 2024 and sell it today you would earn a total of 101,829 from holding DAX Index or generate 5.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 95.38% |
| Values | Daily Returns |
DAX Index vs. Panasonic
Performance |
| Timeline |
DAX Index and Panasonic Volatility Contrast
Predicted Return Density |
| Returns |
DAX Index
Pair trading matchups for DAX Index
Panasonic
Pair trading matchups for Panasonic
Pair Trading with DAX Index and Panasonic
The main advantage of trading using opposite DAX Index and Panasonic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if DAX Index position performs unexpectedly, Panasonic 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 Panasonic will offset losses from the drop in Panasonic's long position.| DAX Index vs. BE Semiconductor Industries | DAX Index vs. REGAL ASIAN INVESTMENTS | DAX Index vs. SEI INVESTMENTS | DAX Index vs. National Beverage Corp |
| Panasonic vs. Apple Inc | Panasonic vs. Apple Inc | Panasonic vs. Samsung Electronics Co | Panasonic vs. Samsung Electronics Co |
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 File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| 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 | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |