Correlation Between Nok Airlines and Sartorius Stedim
Can any of the company-specific risk be diversified away by investing in both Nok Airlines and Sartorius Stedim 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 Nok Airlines and Sartorius Stedim into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nok Airlines PCL and Sartorius Stedim Biotech, you can compare the effects of market volatilities on Nok Airlines and Sartorius Stedim 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 Nok Airlines with a short position of Sartorius Stedim. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nok Airlines and Sartorius Stedim.
Diversification Opportunities for Nok Airlines and Sartorius Stedim
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Nok and Sartorius is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Nok Airlines PCL and Sartorius Stedim Biotech in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sartorius Stedim Biotech and Nok Airlines 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 Nok Airlines PCL are associated (or correlated) with Sartorius Stedim. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sartorius Stedim Biotech has no effect on the direction of Nok Airlines i.e., Nok Airlines and Sartorius Stedim go up and down completely randomly.
Pair Corralation between Nok Airlines and Sartorius Stedim
If you would invest 19,220 in Sartorius Stedim Biotech on October 13, 2024 and sell it today you would earn a total of 605.00 from holding Sartorius Stedim Biotech or generate 3.15% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Nok Airlines PCL vs. Sartorius Stedim Biotech
Performance |
| Timeline |
| Nok Airlines PCL |
| Sartorius Stedim Biotech |
Nok Airlines and Sartorius Stedim Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nok Airlines and Sartorius Stedim
The main advantage of trading using opposite Nok Airlines and Sartorius Stedim positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nok Airlines position performs unexpectedly, Sartorius Stedim 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 Sartorius Stedim will offset losses from the drop in Sartorius Stedim's long position.| Nok Airlines vs. JD SPORTS FASH | Nok Airlines vs. ePlay Digital | Nok Airlines vs. CVB Financial Corp | Nok Airlines vs. USWE SPORTS AB |
| Sartorius Stedim vs. United Airlines Holdings | Sartorius Stedim vs. China Eastern Airlines | Sartorius Stedim vs. SMA Solar Technology | Sartorius Stedim vs. Nok Airlines PCL |
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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
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