Correlation Between Spectrumone Publ and Saxlund Group
Can any of the company-specific risk be diversified away by investing in both Spectrumone Publ and Saxlund Group 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 Spectrumone Publ and Saxlund Group into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Spectrumone publ AB and Saxlund Group AB, you can compare the effects of market volatilities on Spectrumone Publ and Saxlund 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 Spectrumone Publ with a short position of Saxlund Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of Spectrumone Publ and Saxlund Group.
Diversification Opportunities for Spectrumone Publ and Saxlund Group
0.11 | Correlation Coefficient |
Average diversification
The 3 months correlation between Spectrumone and Saxlund is 0.11. Overlapping area represents the amount of risk that can be diversified away by holding Spectrumone publ AB and Saxlund Group AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Saxlund Group AB and Spectrumone Publ 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 Spectrumone publ AB are associated (or correlated) with Saxlund Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Saxlund Group AB has no effect on the direction of Spectrumone Publ i.e., Spectrumone Publ and Saxlund Group go up and down completely randomly.
Pair Corralation between Spectrumone Publ and Saxlund Group
Assuming the 90 days trading horizon Spectrumone publ AB is expected to under-perform the Saxlund Group. In addition to that, Spectrumone Publ is 1.02 times more volatile than Saxlund Group AB. It trades about -0.09 of its total potential returns per unit of risk. Saxlund Group AB is currently generating about -0.08 per unit of volatility. If you would invest 990.00 in Saxlund Group AB on October 26, 2024 and sell it today you would lose (150.00) from holding Saxlund Group AB or give up 15.15% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Spectrumone publ AB vs. Saxlund Group AB
Performance |
| Timeline |
| Spectrumone publ |
| Saxlund Group AB |
Spectrumone Publ and Saxlund Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Spectrumone Publ and Saxlund Group
The main advantage of trading using opposite Spectrumone Publ and Saxlund Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Spectrumone Publ position performs unexpectedly, Saxlund 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 Saxlund Group will offset losses from the drop in Saxlund Group's long position.| Spectrumone Publ vs. Avensia publ AB | Spectrumone Publ vs. Micro Systemation AB | Spectrumone Publ vs. Generic Sweden publ | Spectrumone Publ vs. FormPipe Software AB |
| Saxlund Group vs. Spectrumone publ AB | Saxlund Group vs. Kancera AB | Saxlund Group vs. Cortus Energy AB | Saxlund Group vs. SolTech Energy Sweden |
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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Other Complementary Tools
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities |