Correlation Between 06738EBW4 and Finnair Oyj
Specify exactly 2 symbols:
By analyzing existing cross correlation between BACR 333 24 NOV 42 and Finnair Oyj, you can compare the effects of market volatilities on 06738EBW4 and Finnair Oyj 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 06738EBW4 with a short position of Finnair Oyj. Check out your portfolio center. Please also check ongoing floating volatility patterns of 06738EBW4 and Finnair Oyj.
Diversification Opportunities for 06738EBW4 and Finnair Oyj
0.24 | Correlation Coefficient |
Modest diversification
The 3 months correlation between 06738EBW4 and Finnair is 0.24. Overlapping area represents the amount of risk that can be diversified away by holding BACR 333 24 NOV 42 and Finnair Oyj in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Finnair Oyj and 06738EBW4 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 BACR 333 24 NOV 42 are associated (or correlated) with Finnair Oyj. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Finnair Oyj has no effect on the direction of 06738EBW4 i.e., 06738EBW4 and Finnair Oyj go up and down completely randomly.
Pair Corralation between 06738EBW4 and Finnair Oyj
Assuming the 90 days trading horizon BACR 333 24 NOV 42 is expected to generate 0.46 times more return on investment than Finnair Oyj. However, BACR 333 24 NOV 42 is 2.19 times less risky than Finnair Oyj. It trades about 0.11 of its potential returns per unit of risk. Finnair Oyj is currently generating about -0.18 per unit of risk. If you would invest 7,463 in BACR 333 24 NOV 42 on August 31, 2024 and sell it today you would earn a total of 198.00 from holding BACR 333 24 NOV 42 or generate 2.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 86.36% |
| Values | Daily Returns |
BACR 333 24 NOV 42 vs. Finnair Oyj
Performance |
| Timeline |
| BACR 333 24 |
| Finnair Oyj |
06738EBW4 and Finnair Oyj Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with 06738EBW4 and Finnair Oyj
The main advantage of trading using opposite 06738EBW4 and Finnair Oyj positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if 06738EBW4 position performs unexpectedly, Finnair Oyj 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 Finnair Oyj will offset losses from the drop in Finnair Oyj's long position.| 06738EBW4 vs. Finnair Oyj | 06738EBW4 vs. Alaska Air Group | 06738EBW4 vs. Norfolk Southern | 06738EBW4 vs. Titan International |
| Finnair Oyj vs. Copa Holdings SA | Finnair Oyj vs. United Airlines Holdings | Finnair Oyj vs. Delta Air Lines | Finnair Oyj vs. SkyWest |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |