Correlation Between OMX Stockholm and Dometic Group
Specify exactly 2 symbols:
By analyzing existing cross correlation between OMX Stockholm Mid and Dometic Group AB, you can compare the effects of market volatilities on OMX Stockholm and Dometic Group 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 Stockholm with a short position of Dometic Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of OMX Stockholm and Dometic Group.
Diversification Opportunities for OMX Stockholm and Dometic Group
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between OMX and Dometic is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding OMX Stockholm Mid and Dometic Group AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dometic Group AB and OMX Stockholm 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 Stockholm Mid are associated (or correlated) with Dometic Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dometic Group AB has no effect on the direction of OMX Stockholm i.e., OMX Stockholm and Dometic Group go up and down completely randomly.
Pair Corralation between OMX Stockholm and Dometic Group
Assuming the 90 days trading horizon OMX Stockholm Mid is expected to generate 0.42 times more return on investment than Dometic Group. However, OMX Stockholm Mid is 2.4 times less risky than Dometic Group. It trades about 0.07 of its potential returns per unit of risk. Dometic Group AB is currently generating about -0.08 per unit of risk. If you would invest 142,204 in OMX Stockholm Mid on August 29, 2024 and sell it today you would earn a total of 18,471 from holding OMX Stockholm Mid or generate 12.99% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 99.52% |
| Values | Daily Returns |
OMX Stockholm Mid vs. Dometic Group AB
Performance |
| Timeline |
OMX Stockholm and Dometic Group Volatility Contrast
Predicted Return Density |
| Returns |
OMX Stockholm Mid
Pair trading matchups for OMX Stockholm
Dometic Group AB
Pair trading matchups for Dometic Group
Pair Trading with OMX Stockholm and Dometic Group
The main advantage of trading using opposite OMX Stockholm and Dometic Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if OMX Stockholm position performs unexpectedly, Dometic Group 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 Dometic Group will offset losses from the drop in Dometic Group's long position.| OMX Stockholm vs. Svenska Handelsbanken AB | OMX Stockholm vs. FormPipe Software AB | OMX Stockholm vs. Skandinaviska Enskilda Banken | OMX Stockholm vs. Online Brands Nordic |
| Dometic Group vs. Thule Group AB | Dometic Group vs. Husqvarna AB | Dometic Group vs. Trelleborg AB | Dometic Group vs. Essity AB |
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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
Other Complementary Tools
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |