Correlation Between Stadlauer Malzfabrik and Oesterr Post
Can any of the company-specific risk be diversified away by investing in both Stadlauer Malzfabrik and Oesterr Post 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 Stadlauer Malzfabrik and Oesterr Post into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Stadlauer Malzfabrik Aktiengesellschaft and Oesterr Post AG, you can compare the effects of market volatilities on Stadlauer Malzfabrik and Oesterr Post 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 Stadlauer Malzfabrik with a short position of Oesterr Post. Check out your portfolio center. Please also check ongoing floating volatility patterns of Stadlauer Malzfabrik and Oesterr Post.
Diversification Opportunities for Stadlauer Malzfabrik and Oesterr Post
-0.19 | Correlation Coefficient |
Good diversification
The 3 months correlation between Stadlauer and Oesterr is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding Stadlauer Malzfabrik Aktienges and Oesterr Post AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oesterr Post AG and Stadlauer Malzfabrik 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 Stadlauer Malzfabrik Aktiengesellschaft are associated (or correlated) with Oesterr Post. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oesterr Post AG has no effect on the direction of Stadlauer Malzfabrik i.e., Stadlauer Malzfabrik and Oesterr Post go up and down completely randomly.
Pair Corralation between Stadlauer Malzfabrik and Oesterr Post
Assuming the 90 days trading horizon Stadlauer Malzfabrik Aktiengesellschaft is expected to generate 3.64 times more return on investment than Oesterr Post. However, Stadlauer Malzfabrik is 3.64 times more volatile than Oesterr Post AG. It trades about 0.01 of its potential returns per unit of risk. Oesterr Post AG is currently generating about -0.02 per unit of risk. If you would invest 5,400 in Stadlauer Malzfabrik Aktiengesellschaft on August 30, 2024 and sell it today you would lose (400.00) from holding Stadlauer Malzfabrik Aktiengesellschaft or give up 7.41% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.61% |
| Values | Daily Returns |
Stadlauer Malzfabrik Aktienges vs. Oesterr Post AG
Performance |
| Timeline |
| Stadlauer Malzfabrik |
| Oesterr Post AG |
Stadlauer Malzfabrik and Oesterr Post Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Stadlauer Malzfabrik and Oesterr Post
The main advantage of trading using opposite Stadlauer Malzfabrik and Oesterr Post positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Stadlauer Malzfabrik position performs unexpectedly, Oesterr Post 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 Oesterr Post will offset losses from the drop in Oesterr Post's long position.| Stadlauer Malzfabrik vs. CA Immobilien Anlagen | Stadlauer Malzfabrik vs. AGRANA Beteiligungs Aktiengesellschaft | Stadlauer Malzfabrik vs. Mayr Melnhof Karton AG | Stadlauer Malzfabrik vs. Kapsch Traffic |
| Oesterr Post vs. Voestalpine AG | Oesterr Post vs. VERBUND AG | Oesterr Post vs. OMV Aktiengesellschaft | Oesterr Post vs. Wienerberger AG |
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 Correlations module to find global opportunities by holding instruments from different markets.
Other Complementary Tools
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity |