Correlation Between INTERSHOP Communications and EnviTec Biogas
Specify exactly 2 symbols:
By analyzing existing cross correlation between INTERSHOP Communications Aktiengesellschaft and EnviTec Biogas AG, you can compare the effects of market volatilities on INTERSHOP Communications and EnviTec Biogas 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 INTERSHOP Communications with a short position of EnviTec Biogas. Check out your portfolio center. Please also check ongoing floating volatility patterns of INTERSHOP Communications and EnviTec Biogas.
Diversification Opportunities for INTERSHOP Communications and EnviTec Biogas
-0.29 | Correlation Coefficient |
Very good diversification
The 3 months correlation between INTERSHOP and EnviTec is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding INTERSHOP Communications Aktie and EnviTec Biogas AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EnviTec Biogas AG and INTERSHOP Communications 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 INTERSHOP Communications Aktiengesellschaft are associated (or correlated) with EnviTec Biogas. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EnviTec Biogas AG has no effect on the direction of INTERSHOP Communications i.e., INTERSHOP Communications and EnviTec Biogas go up and down completely randomly.
Pair Corralation between INTERSHOP Communications and EnviTec Biogas
Assuming the 90 days trading horizon INTERSHOP Communications Aktiengesellschaft is expected to under-perform the EnviTec Biogas. But the stock apears to be less risky and, when comparing its historical volatility, INTERSHOP Communications Aktiengesellschaft is 1.11 times less risky than EnviTec Biogas. The stock trades about -0.01 of its potential returns per unit of risk. The EnviTec Biogas AG is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 4,161 in EnviTec Biogas AG on September 12, 2024 and sell it today you would lose (1,061) from holding EnviTec Biogas AG or give up 25.5% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
INTERSHOP Communications Aktie vs. EnviTec Biogas AG
Performance |
| Timeline |
| INTERSHOP Communications |
| EnviTec Biogas AG |
INTERSHOP Communications and EnviTec Biogas Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with INTERSHOP Communications and EnviTec Biogas
The main advantage of trading using opposite INTERSHOP Communications and EnviTec Biogas positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if INTERSHOP Communications position performs unexpectedly, EnviTec Biogas 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 EnviTec Biogas will offset losses from the drop in EnviTec Biogas' long position.| INTERSHOP Communications vs. Salesforce | INTERSHOP Communications vs. Superior Plus Corp | INTERSHOP Communications vs. SIVERS SEMICONDUCTORS AB | INTERSHOP Communications vs. Norsk Hydro ASA |
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 Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |