Correlation Between OMX Copenhagen and BankInvest Danske
Specify exactly 2 symbols:
By analyzing existing cross correlation between OMX Copenhagen All and BankInvest Danske, you can compare the effects of market volatilities on OMX Copenhagen and BankInvest Danske 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 OMX Copenhagen with a short position of BankInvest Danske. Check out your portfolio center. Please also check ongoing floating volatility patterns of OMX Copenhagen and BankInvest Danske.
Diversification Opportunities for OMX Copenhagen and BankInvest Danske
0.94 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between OMX and BankInvest is 0.94. Overlapping area represents the amount of risk that can be diversified away by holding OMX Copenhagen All and BankInvest Danske in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BankInvest Danske and OMX Copenhagen 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 OMX Copenhagen All are associated (or correlated) with BankInvest Danske. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BankInvest Danske has no effect on the direction of OMX Copenhagen i.e., OMX Copenhagen and BankInvest Danske go up and down completely randomly.
Pair Corralation between OMX Copenhagen and BankInvest Danske
Assuming the 90 days trading horizon OMX Copenhagen All is expected to generate 1.3 times more return on investment than BankInvest Danske. However, OMX Copenhagen is 1.3 times more volatile than BankInvest Danske. It trades about 0.05 of its potential returns per unit of risk. BankInvest Danske is currently generating about 0.05 per unit of risk. If you would invest 138,773 in OMX Copenhagen All on September 13, 2024 and sell it today you would earn a total of 36,855 from holding OMX Copenhagen All or generate 26.56% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
OMX Copenhagen All vs. BankInvest Danske
Performance |
| Timeline |
OMX Copenhagen and BankInvest Danske Volatility Contrast
Predicted Return Density |
| Returns |
OMX Copenhagen All
Pair trading matchups for OMX Copenhagen
BankInvest Danske
Pair trading matchups for BankInvest Danske
Pair Trading with OMX Copenhagen and BankInvest Danske
The main advantage of trading using opposite OMX Copenhagen and BankInvest Danske positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if OMX Copenhagen position performs unexpectedly, BankInvest Danske 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 BankInvest Danske will offset losses from the drop in BankInvest Danske's long position.| OMX Copenhagen vs. Cessatech AS | OMX Copenhagen vs. NTG Nordic Transport | OMX Copenhagen vs. Dataproces Group AS | OMX Copenhagen vs. Jyske Bank AS |
| BankInvest Danske vs. Jyske Invest Nye | BankInvest Danske vs. Jyske Invest Korte | BankInvest Danske vs. Jyske Invest Nye | BankInvest Danske vs. Jyske Invest Virksomhedsobligationer |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |