Correlation Between SKAGEN AVKASTNING and Elkem ASA
Specify exactly 2 symbols:
By analyzing existing cross correlation between SKAGEN AVKASTNING and Elkem ASA, you can compare the effects of market volatilities on SKAGEN AVKASTNING and Elkem ASA 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 SKAGEN AVKASTNING with a short position of Elkem ASA. Check out your portfolio center. Please also check ongoing floating volatility patterns of SKAGEN AVKASTNING and Elkem ASA.
Diversification Opportunities for SKAGEN AVKASTNING and Elkem ASA
-0.11 | Correlation Coefficient |
Good diversification
The 3 months correlation between SKAGEN and Elkem is -0.11. Overlapping area represents the amount of risk that can be diversified away by holding SKAGEN AVKASTNING and Elkem ASA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Elkem ASA and SKAGEN AVKASTNING 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 SKAGEN AVKASTNING are associated (or correlated) with Elkem ASA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Elkem ASA has no effect on the direction of SKAGEN AVKASTNING i.e., SKAGEN AVKASTNING and Elkem ASA go up and down completely randomly.
Pair Corralation between SKAGEN AVKASTNING and Elkem ASA
Assuming the 90 days trading horizon SKAGEN AVKASTNING is expected to generate 0.02 times more return on investment than Elkem ASA. However, SKAGEN AVKASTNING is 62.93 times less risky than Elkem ASA. It trades about 0.69 of its potential returns per unit of risk. Elkem ASA is currently generating about -0.06 per unit of risk. If you would invest 14,785 in SKAGEN AVKASTNING on August 28, 2024 and sell it today you would earn a total of 55.00 from holding SKAGEN AVKASTNING or generate 0.37% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 90.91% |
| Values | Daily Returns |
SKAGEN AVKASTNING vs. Elkem ASA
Performance |
| Timeline |
| SKAGEN AVKASTNING |
| Elkem ASA |
SKAGEN AVKASTNING and Elkem ASA Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SKAGEN AVKASTNING and Elkem ASA
The main advantage of trading using opposite SKAGEN AVKASTNING and Elkem ASA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SKAGEN AVKASTNING position performs unexpectedly, Elkem ASA 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 Elkem ASA will offset losses from the drop in Elkem ASA's long position.| SKAGEN AVKASTNING vs. DNB NOR KAPFORV | SKAGEN AVKASTNING vs. ARCTIC HIGH RETURN | SKAGEN AVKASTNING vs. ODIN NORSK OBLIGASJON |
| Elkem ASA vs. Goodtech | Elkem ASA vs. Havila Shipping ASA | Elkem ASA vs. Eidesvik Offshore ASA | Elkem ASA vs. Byggma |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Stocks Directory Find actively traded stocks across global markets | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |