Correlation Between Maj Invest and Maj Invest
Can any of the company-specific risk be diversified away by investing in both Maj Invest and Maj Invest 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 Maj Invest and Maj Invest into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Maj Invest and Maj Invest , you can compare the effects of market volatilities on Maj Invest and Maj Invest 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 Maj Invest with a short position of Maj Invest. Check out your portfolio center. Please also check ongoing floating volatility patterns of Maj Invest and Maj Invest.
Diversification Opportunities for Maj Invest and Maj Invest
-0.43 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Maj and Maj is -0.43. Overlapping area represents the amount of risk that can be diversified away by holding Maj Invest and Maj Invest in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Maj Invest and Maj Invest 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 Maj Invest are associated (or correlated) with Maj Invest. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Maj Invest has no effect on the direction of Maj Invest i.e., Maj Invest and Maj Invest go up and down completely randomly.
Pair Corralation between Maj Invest and Maj Invest
Assuming the 90 days trading horizon Maj Invest is expected to generate 0.12 times more return on investment than Maj Invest. However, Maj Invest is 8.41 times less risky than Maj Invest. It trades about 0.1 of its potential returns per unit of risk. Maj Invest is currently generating about -0.07 per unit of risk. If you would invest 8,979 in Maj Invest on August 25, 2024 and sell it today you would earn a total of 1,062 from holding Maj Invest or generate 11.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Maj Invest vs. Maj Invest
Performance |
| Timeline |
| Maj Invest |
| Maj Invest |
Maj Invest and Maj Invest Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Maj Invest and Maj Invest
The main advantage of trading using opposite Maj Invest and Maj Invest positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Maj Invest position performs unexpectedly, Maj Invest 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 Maj Invest will offset losses from the drop in Maj Invest's long position.| Maj Invest vs. Maj Invest | Maj Invest vs. Maj Invest Value | Maj Invest vs. Sparinvest Lange | Maj Invest vs. Investeringsforeningen Danske Invest |
| Maj Invest vs. Investeringsforeningen Danske Invest | Maj Invest vs. Investeringsforeningen Danske Invest | Maj Invest vs. Investeringsforeningen Bankinvest |
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 Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| 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 | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |