Correlation Between SBF 120 and Prodways Group
Specify exactly 2 symbols:
By analyzing existing cross correlation between SBF 120 and Prodways Group SA, you can compare the effects of market volatilities on SBF 120 and Prodways 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 SBF 120 with a short position of Prodways Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of SBF 120 and Prodways Group.
Diversification Opportunities for SBF 120 and Prodways Group
0.54 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between SBF and Prodways is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding SBF 120 and Prodways Group SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Prodways Group SA 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 Prodways Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Prodways Group SA has no effect on the direction of SBF 120 i.e., SBF 120 and Prodways Group go up and down completely randomly.
Pair Corralation between SBF 120 and Prodways Group
Assuming the 90 days trading horizon SBF 120 is expected to generate 0.29 times more return on investment than Prodways Group. However, SBF 120 is 3.5 times less risky than Prodways Group. It trades about 0.02 of its potential returns per unit of risk. Prodways Group SA is currently generating about -0.12 per unit of risk. If you would invest 513,914 in SBF 120 on August 24, 2024 and sell it today you would earn a total of 36,245 from holding SBF 120 or generate 7.05% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 99.8% |
| Values | Daily Returns |
SBF 120 vs. Prodways Group SA
Performance |
| Timeline |
SBF 120 and Prodways Group Volatility Contrast
Predicted Return Density |
| Returns |
SBF 120
Pair trading matchups for SBF 120
Prodways Group SA
Pair trading matchups for Prodways Group
Pair Trading with SBF 120 and Prodways Group
The main advantage of trading using opposite SBF 120 and Prodways Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SBF 120 position performs unexpectedly, Prodways 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 Prodways Group will offset losses from the drop in Prodways Group's long position.| SBF 120 vs. Mauna Kea Technologies | SBF 120 vs. Axway Software | SBF 120 vs. Soditech SA | SBF 120 vs. Guandao Puer Investment |
| Prodways Group vs. Balyo SA | Prodways Group vs. Lumibird SA | Prodways Group vs. Chargeurs SA | Prodways Group vs. Figeac Aero SA |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Other Complementary Tools
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |