Correlation Between AP Mller and Danske Bank
Specify exactly 2 symbols:
By analyzing existing cross correlation between AP Mller and Danske Bank AS, you can compare the effects of market volatilities on AP Mller and Danske Bank 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 AP Mller with a short position of Danske Bank. Check out your portfolio center. Please also check ongoing floating volatility patterns of AP Mller and Danske Bank.
Diversification Opportunities for AP Mller and Danske Bank
0.16 | Correlation Coefficient |
Average diversification
The 3 months correlation between MAERSK-B and Danske is 0.16. Overlapping area represents the amount of risk that can be diversified away by holding AP Mller and Danske Bank AS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Danske Bank AS and AP Mller 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 AP Mller are associated (or correlated) with Danske Bank. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Danske Bank AS has no effect on the direction of AP Mller i.e., AP Mller and Danske Bank go up and down completely randomly.
Pair Corralation between AP Mller and Danske Bank
Assuming the 90 days trading horizon AP Mller is expected to generate 2.43 times more return on investment than Danske Bank. However, AP Mller is 2.43 times more volatile than Danske Bank AS. It trades about 0.17 of its potential returns per unit of risk. Danske Bank AS is currently generating about 0.01 per unit of risk. If you would invest 1,041,000 in AP Mller on August 28, 2024 and sell it today you would earn a total of 123,000 from holding AP Mller or generate 11.82% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
AP Mller vs. Danske Bank AS
Performance |
| Timeline |
| AP Mller |
| Danske Bank AS |
AP Mller and Danske Bank Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AP Mller and Danske Bank
The main advantage of trading using opposite AP Mller and Danske Bank positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AP Mller position performs unexpectedly, Danske Bank 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 Danske Bank will offset losses from the drop in Danske Bank's long position.| AP Mller vs. Danske Bank AS | AP Mller vs. DSV Panalpina AS | AP Mller vs. AP Mller | AP Mller vs. Vestas Wind Systems |
| Danske Bank vs. Bavarian Nordic | Danske Bank vs. DSV Panalpina AS | Danske Bank vs. Vestas Wind Systems | Danske Bank vs. Ambu AS |
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 Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
Other Complementary Tools
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |