Correlation Between Oxurion NV and FORWARD AIR
Can any of the company-specific risk be diversified away by investing in both Oxurion NV and FORWARD AIR 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 Oxurion NV and FORWARD AIR into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oxurion NV and FORWARD AIR P, you can compare the effects of market volatilities on Oxurion NV and FORWARD AIR 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 Oxurion NV with a short position of FORWARD AIR. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oxurion NV and FORWARD AIR.
Diversification Opportunities for Oxurion NV and FORWARD AIR
-0.62 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Oxurion and FORWARD is -0.62. Overlapping area represents the amount of risk that can be diversified away by holding Oxurion NV and FORWARD AIR P in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FORWARD AIR P and Oxurion NV 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 Oxurion NV are associated (or correlated) with FORWARD AIR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FORWARD AIR P has no effect on the direction of Oxurion NV i.e., Oxurion NV and FORWARD AIR go up and down completely randomly.
Pair Corralation between Oxurion NV and FORWARD AIR
Assuming the 90 days horizon Oxurion NV is expected to generate 10.32 times more return on investment than FORWARD AIR. However, Oxurion NV is 10.32 times more volatile than FORWARD AIR P. It trades about 0.06 of its potential returns per unit of risk. FORWARD AIR P is currently generating about -0.03 per unit of risk. If you would invest 15,200 in Oxurion NV on August 27, 2024 and sell it today you would lose (15,172) from holding Oxurion NV or give up 99.82% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 96.54% |
| Values | Daily Returns |
Oxurion NV vs. FORWARD AIR P
Performance |
| Timeline |
| Oxurion NV |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| FORWARD AIR P |
Oxurion NV and FORWARD AIR Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oxurion NV and FORWARD AIR
The main advantage of trading using opposite Oxurion NV and FORWARD AIR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oxurion NV position performs unexpectedly, FORWARD AIR 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 FORWARD AIR will offset losses from the drop in FORWARD AIR's long position.| Oxurion NV vs. TITANIUM TRANSPORTGROUP | Oxurion NV vs. Broadcom | Oxurion NV vs. Nishi Nippon Railroad Co | Oxurion NV vs. COPLAND ROAD CAPITAL |
| FORWARD AIR vs. Apple Inc | FORWARD AIR vs. Apple Inc | FORWARD AIR vs. Apple Inc | FORWARD AIR vs. Apple Inc |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
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