Correlation Between Manitou BF and Glob Bioenergi
Can any of the company-specific risk be diversified away by investing in both Manitou BF and Glob Bioenergi 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 Manitou BF and Glob Bioenergi into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Manitou BF SA and Glob Bioenergi, you can compare the effects of market volatilities on Manitou BF and Glob Bioenergi 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 Manitou BF with a short position of Glob Bioenergi. Check out your portfolio center. Please also check ongoing floating volatility patterns of Manitou BF and Glob Bioenergi.
Diversification Opportunities for Manitou BF and Glob Bioenergi
0.43 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Manitou and Glob is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding Manitou BF SA and Glob Bioenergi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Glob Bioenergi and Manitou BF 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 Manitou BF SA are associated (or correlated) with Glob Bioenergi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Glob Bioenergi has no effect on the direction of Manitou BF i.e., Manitou BF and Glob Bioenergi go up and down completely randomly.
Pair Corralation between Manitou BF and Glob Bioenergi
Assuming the 90 days trading horizon Manitou BF SA is expected to generate 0.36 times more return on investment than Glob Bioenergi. However, Manitou BF SA is 2.81 times less risky than Glob Bioenergi. It trades about -0.02 of its potential returns per unit of risk. Glob Bioenergi is currently generating about -0.03 per unit of risk. If you would invest 2,082 in Manitou BF SA on August 30, 2024 and sell it today you would lose (512.00) from holding Manitou BF SA or give up 24.59% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Manitou BF SA vs. Glob Bioenergi
Performance |
| Timeline |
| Manitou BF SA |
| Glob Bioenergi |
Manitou BF and Glob Bioenergi Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Manitou BF and Glob Bioenergi
The main advantage of trading using opposite Manitou BF and Glob Bioenergi positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Manitou BF position performs unexpectedly, Glob Bioenergi 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 Glob Bioenergi will offset losses from the drop in Glob Bioenergi's long position.| Manitou BF vs. Haulotte Group SA | Manitou BF vs. Trigano SA | Manitou BF vs. Bnteau SA | Manitou BF vs. Derichebourg |
| Glob Bioenergi vs. Neurones | Glob Bioenergi vs. Aubay Socit Anonyme | Glob Bioenergi vs. Infotel SA | Glob Bioenergi vs. Manitou BF SA |
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
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |