Correlation Between Oesterr Post and Anheuser Busch
Can any of the company-specific risk be diversified away by investing in both Oesterr Post and Anheuser Busch 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 Oesterr Post and Anheuser Busch into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oesterr Post AG and Anheuser Busch InBev SANV, you can compare the effects of market volatilities on Oesterr Post and Anheuser Busch 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 Oesterr Post with a short position of Anheuser Busch. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oesterr Post and Anheuser Busch.
Diversification Opportunities for Oesterr Post and Anheuser Busch
0.45 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Oesterr and Anheuser is 0.45. Overlapping area represents the amount of risk that can be diversified away by holding Oesterr Post AG and Anheuser Busch InBev SANV in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anheuser Busch InBev and Oesterr Post 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 Oesterr Post AG are associated (or correlated) with Anheuser Busch. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anheuser Busch InBev has no effect on the direction of Oesterr Post i.e., Oesterr Post and Anheuser Busch go up and down completely randomly.
Pair Corralation between Oesterr Post and Anheuser Busch
Assuming the 90 days trading horizon Oesterr Post AG is expected to generate 0.48 times more return on investment than Anheuser Busch. However, Oesterr Post AG is 2.08 times less risky than Anheuser Busch. It trades about -0.06 of its potential returns per unit of risk. Anheuser Busch InBev SANV is currently generating about -0.06 per unit of risk. If you would invest 2,950 in Oesterr Post AG on August 23, 2024 and sell it today you would lose (80.00) from holding Oesterr Post AG or give up 2.71% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Oesterr Post AG vs. Anheuser Busch InBev SANV
Performance |
| Timeline |
| Oesterr Post AG |
| Anheuser Busch InBev |
Oesterr Post and Anheuser Busch Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oesterr Post and Anheuser Busch
The main advantage of trading using opposite Oesterr Post and Anheuser Busch positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oesterr Post position performs unexpectedly, Anheuser Busch 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 Anheuser Busch will offset losses from the drop in Anheuser Busch's long position.| Oesterr Post vs. Voestalpine AG | Oesterr Post vs. OMV Aktiengesellschaft | Oesterr Post vs. UNIQA Insurance Group | Oesterr Post vs. VERBUND AG |
| Anheuser Busch vs. AT S Austria | Anheuser Busch vs. BAWAG Group AG | Anheuser Busch vs. Semperit Aktiengesellschaft Holding | Anheuser Busch vs. Telekom Austria AG |
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 Stocks Directory module to find actively traded stocks across global markets.
Other Complementary Tools
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Transaction History View history of all your transactions and understand their impact on performance |