Correlation Between Gr Sarantis and N Leventeris
Can any of the company-specific risk be diversified away by investing in both Gr Sarantis and N Leventeris 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 Gr Sarantis and N Leventeris into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gr Sarantis SA and N Leventeris SA, you can compare the effects of market volatilities on Gr Sarantis and N Leventeris 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 Gr Sarantis with a short position of N Leventeris. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gr Sarantis and N Leventeris.
Diversification Opportunities for Gr Sarantis and N Leventeris
-0.32 | Correlation Coefficient |
Very good diversification
The 3 months correlation between SAR and LEBEP is -0.32. Overlapping area represents the amount of risk that can be diversified away by holding Gr Sarantis SA and N Leventeris SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on N Leventeris SA and Gr Sarantis 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 Gr Sarantis SA are associated (or correlated) with N Leventeris. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of N Leventeris SA has no effect on the direction of Gr Sarantis i.e., Gr Sarantis and N Leventeris go up and down completely randomly.
Pair Corralation between Gr Sarantis and N Leventeris
Assuming the 90 days trading horizon Gr Sarantis is expected to generate 5.54 times less return on investment than N Leventeris. But when comparing it to its historical volatility, Gr Sarantis SA is 5.94 times less risky than N Leventeris. It trades about 0.2 of its potential returns per unit of risk. N Leventeris SA is currently generating about 0.18 of returns per unit of risk over similar time horizon. If you would invest 21.00 in N Leventeris SA on November 5, 2024 and sell it today you would earn a total of 5.00 from holding N Leventeris SA or generate 23.81% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gr Sarantis SA vs. N Leventeris SA
Performance |
| Timeline |
| Gr Sarantis SA |
| N Leventeris SA |
Gr Sarantis and N Leventeris Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gr Sarantis and N Leventeris
The main advantage of trading using opposite Gr Sarantis and N Leventeris positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gr Sarantis position performs unexpectedly, N Leventeris 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 N Leventeris will offset losses from the drop in N Leventeris' long position.| Gr Sarantis vs. Jumbo SA | Gr Sarantis vs. Mytilineos SA | Gr Sarantis vs. Aegean Airlines SA | Gr Sarantis vs. Greek Organization of |
| N Leventeris vs. Thrace Plastics Holding | N Leventeris vs. Intertech SA Inter | N Leventeris vs. Marfin Investment Group | N Leventeris vs. Eurobank Ergasias Services |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |