Correlation Between HIAG Immobilien and Procimmo Real
Can any of the company-specific risk be diversified away by investing in both HIAG Immobilien and Procimmo Real 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 HIAG Immobilien and Procimmo Real into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between HIAG Immobilien Holding and Procimmo Real Estate, you can compare the effects of market volatilities on HIAG Immobilien and Procimmo Real 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 HIAG Immobilien with a short position of Procimmo Real. Check out your portfolio center. Please also check ongoing floating volatility patterns of HIAG Immobilien and Procimmo Real.
Diversification Opportunities for HIAG Immobilien and Procimmo Real
0.31 | Correlation Coefficient |
Weak diversification
The 3 months correlation between HIAG and Procimmo is 0.31. Overlapping area represents the amount of risk that can be diversified away by holding HIAG Immobilien Holding and Procimmo Real Estate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Procimmo Real Estate and HIAG Immobilien 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 HIAG Immobilien Holding are associated (or correlated) with Procimmo Real. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Procimmo Real Estate has no effect on the direction of HIAG Immobilien i.e., HIAG Immobilien and Procimmo Real go up and down completely randomly.
Pair Corralation between HIAG Immobilien and Procimmo Real
Assuming the 90 days trading horizon HIAG Immobilien Holding is expected to generate 1.13 times more return on investment than Procimmo Real. However, HIAG Immobilien is 1.13 times more volatile than Procimmo Real Estate. It trades about 0.16 of its potential returns per unit of risk. Procimmo Real Estate is currently generating about 0.1 per unit of risk. If you would invest 8,860 in HIAG Immobilien Holding on December 1, 2024 and sell it today you would earn a total of 280.00 from holding HIAG Immobilien Holding or generate 3.16% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
HIAG Immobilien Holding vs. Procimmo Real Estate
Performance |
| Timeline |
| HIAG Immobilien Holding |
| Procimmo Real Estate |
HIAG Immobilien and Procimmo Real Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with HIAG Immobilien and Procimmo Real
The main advantage of trading using opposite HIAG Immobilien and Procimmo Real positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HIAG Immobilien position performs unexpectedly, Procimmo Real 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 Procimmo Real will offset losses from the drop in Procimmo Real's long position.| HIAG Immobilien vs. Allreal Holding | HIAG Immobilien vs. Mobimo Hldg | HIAG Immobilien vs. Swiss Prime Site | HIAG Immobilien vs. PSP Swiss Property |
| Procimmo Real vs. SF Sustainable Property | Procimmo Real vs. Swissinvest Real Estate | Procimmo Real vs. Baloise Swiss Property | Procimmo Real vs. CS Real Estate |
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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
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