Correlation Between Samsung Electronics and Compagnie Générale
Can any of the company-specific risk be diversified away by investing in both Samsung Electronics and Compagnie Générale 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 Samsung Electronics and Compagnie Générale into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Samsung Electronics Co and Compagnie Gnrale des, you can compare the effects of market volatilities on Samsung Electronics and Compagnie Générale 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 Samsung Electronics with a short position of Compagnie Générale. Check out your portfolio center. Please also check ongoing floating volatility patterns of Samsung Electronics and Compagnie Générale.
Diversification Opportunities for Samsung Electronics and Compagnie Générale
-0.82 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Samsung and Compagnie is -0.82. Overlapping area represents the amount of risk that can be diversified away by holding Samsung Electronics Co and Compagnie Gnrale des in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Compagnie Gnrale des and Samsung Electronics 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 Samsung Electronics Co are associated (or correlated) with Compagnie Générale. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Compagnie Gnrale des has no effect on the direction of Samsung Electronics i.e., Samsung Electronics and Compagnie Générale go up and down completely randomly.
Pair Corralation between Samsung Electronics and Compagnie Générale
If you would invest 4,060 in Samsung Electronics Co on September 1, 2024 and sell it today you would earn a total of 0.00 from holding Samsung Electronics Co or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Samsung Electronics Co vs. Compagnie Gnrale des
Performance |
| Timeline |
| Samsung Electronics |
| Compagnie Gnrale des |
Samsung Electronics and Compagnie Générale Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Samsung Electronics and Compagnie Générale
The main advantage of trading using opposite Samsung Electronics and Compagnie Générale positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Samsung Electronics position performs unexpectedly, Compagnie Générale 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 Compagnie Générale will offset losses from the drop in Compagnie Générale's long position.| Samsung Electronics vs. Universal Electronics | Samsung Electronics vs. Vizio Holding Corp | Samsung Electronics vs. VOXX International | Samsung Electronics vs. Sony Group Corp |
| Compagnie Générale vs. Allison Transmission Holdings | Compagnie Générale vs. Luminar Technologies | Compagnie Générale vs. Quantumscape Corp | Compagnie Générale vs. Lear Corporation |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Global Correlations Find global opportunities by holding instruments from different markets |