Correlation Between Snap and CEWE Stiftung
Can any of the company-specific risk be diversified away by investing in both Snap and CEWE Stiftung 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 Snap and CEWE Stiftung into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Snap Inc and CEWE Stiftung Co, you can compare the effects of market volatilities on Snap and CEWE Stiftung 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 Snap with a short position of CEWE Stiftung. Check out your portfolio center. Please also check ongoing floating volatility patterns of Snap and CEWE Stiftung.
Diversification Opportunities for Snap and CEWE Stiftung
-0.1 | Correlation Coefficient |
Good diversification
The 3 months correlation between Snap and CEWE is -0.1. Overlapping area represents the amount of risk that can be diversified away by holding Snap Inc and CEWE Stiftung Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CEWE Stiftung and Snap 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 Snap Inc are associated (or correlated) with CEWE Stiftung. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CEWE Stiftung has no effect on the direction of Snap i.e., Snap and CEWE Stiftung go up and down completely randomly.
Pair Corralation between Snap and CEWE Stiftung
Given the investment horizon of 90 days Snap Inc is expected to under-perform the CEWE Stiftung. In addition to that, Snap is 2.28 times more volatile than CEWE Stiftung Co. It trades about -0.17 of its total potential returns per unit of risk. CEWE Stiftung Co is currently generating about 0.03 per unit of volatility. If you would invest 9,860 in CEWE Stiftung Co on November 6, 2025 and sell it today you would earn a total of 200.00 from holding CEWE Stiftung Co or generate 2.03% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.36% |
| Values | Daily Returns |
Snap Inc vs. CEWE Stiftung Co
Performance |
| Timeline |
| Snap Inc |
| CEWE Stiftung |
Snap and CEWE Stiftung Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Snap and CEWE Stiftung
The main advantage of trading using opposite Snap and CEWE Stiftung positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Snap position performs unexpectedly, CEWE Stiftung 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 CEWE Stiftung will offset losses from the drop in CEWE Stiftung's long position.The idea behind Snap Inc and CEWE Stiftung Co pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| CEWE Stiftung vs. Strong Petrochemical Holdings | CEWE Stiftung vs. WESTLAKE CHEMICAL | CEWE Stiftung vs. X FAB Silicon Foundries | CEWE Stiftung vs. SHIN ETSU CHEMICAL |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
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