Correlation Between SBF 120 and Linedata Services
Specify exactly 2 symbols:
By analyzing existing cross correlation between SBF 120 and Linedata Services SA, you can compare the effects of market volatilities on SBF 120 and Linedata Services 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 SBF 120 with a short position of Linedata Services. Check out your portfolio center. Please also check ongoing floating volatility patterns of SBF 120 and Linedata Services.
Diversification Opportunities for SBF 120 and Linedata Services
-0.11 | Correlation Coefficient |
Good diversification
The 3 months correlation between SBF and Linedata is -0.11. Overlapping area represents the amount of risk that can be diversified away by holding SBF 120 and Linedata Services SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Linedata Services and SBF 120 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 SBF 120 are associated (or correlated) with Linedata Services. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Linedata Services has no effect on the direction of SBF 120 i.e., SBF 120 and Linedata Services go up and down completely randomly.
Pair Corralation between SBF 120 and Linedata Services
Assuming the 90 days trading horizon SBF 120 is expected to under-perform the Linedata Services. But the index apears to be less risky and, when comparing its historical volatility, SBF 120 is 1.02 times less risky than Linedata Services. The index trades about -0.2 of its potential returns per unit of risk. The Linedata Services SA is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 8,020 in Linedata Services SA on August 28, 2024 and sell it today you would earn a total of 0.00 from holding Linedata Services SA or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
SBF 120 vs. Linedata Services SA
Performance |
| Timeline |
SBF 120 and Linedata Services Volatility Contrast
Predicted Return Density |
| Returns |
SBF 120
Pair trading matchups for SBF 120
Linedata Services SA
Pair trading matchups for Linedata Services
Pair Trading with SBF 120 and Linedata Services
The main advantage of trading using opposite SBF 120 and Linedata Services positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SBF 120 position performs unexpectedly, Linedata Services 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 Linedata Services will offset losses from the drop in Linedata Services' long position.| SBF 120 vs. X Fab Silicon | SBF 120 vs. Axway Software | SBF 120 vs. Covivio Hotels | SBF 120 vs. Novatech Industries SA |
| Linedata Services vs. Sword Group SE | Linedata Services vs. Lectra SA | Linedata Services vs. Neurones | Linedata Services vs. Aubay Socit Anonyme |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |