Correlation Between Nordea Invest and Strategic Investments
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By analyzing existing cross correlation between Nordea Invest Aktier and Strategic Investments AS, you can compare the effects of market volatilities on Nordea Invest and Strategic Investments 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 Nordea Invest with a short position of Strategic Investments. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nordea Invest and Strategic Investments.
Diversification Opportunities for Nordea Invest and Strategic Investments
-0.8 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Nordea and Strategic is -0.8. Overlapping area represents the amount of risk that can be diversified away by holding Nordea Invest Aktier and Strategic Investments AS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Strategic Investments and Nordea 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 Nordea Invest Aktier are associated (or correlated) with Strategic Investments. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Strategic Investments has no effect on the direction of Nordea Invest i.e., Nordea Invest and Strategic Investments go up and down completely randomly.
Pair Corralation between Nordea Invest and Strategic Investments
Assuming the 90 days trading horizon Nordea Invest Aktier is expected to generate 0.38 times more return on investment than Strategic Investments. However, Nordea Invest Aktier is 2.63 times less risky than Strategic Investments. It trades about 0.06 of its potential returns per unit of risk. Strategic Investments AS is currently generating about -0.02 per unit of risk. If you would invest 46,880 in Nordea Invest Aktier on September 19, 2024 and sell it today you would earn a total of 8,310 from holding Nordea Invest Aktier or generate 17.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 84.81% |
| Values | Daily Returns |
Nordea Invest Aktier vs. Strategic Investments AS
Performance |
| Timeline |
| Nordea Invest Aktier |
| Strategic Investments |
Nordea Invest and Strategic Investments Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nordea Invest and Strategic Investments
The main advantage of trading using opposite Nordea Invest and Strategic Investments positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nordea Invest position performs unexpectedly, Strategic Investments 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 Strategic Investments will offset losses from the drop in Strategic Investments' long position.| Nordea Invest vs. Strategic Investments AS | Nordea Invest vs. Sydbank AS | Nordea Invest vs. NTG Nordic Transport | Nordea Invest vs. Nordinvestments AS |
| Strategic Investments vs. Newcap Holding AS | Strategic Investments vs. SKAKO AS | Strategic Investments vs. Rovsing 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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
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