Correlation Between Vishay Intertechnology and Intesa Sanpaolo
Can any of the company-specific risk be diversified away by investing in both Vishay Intertechnology and Intesa Sanpaolo 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 Vishay Intertechnology and Intesa Sanpaolo into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Vishay Intertechnology and Intesa Sanpaolo SpA, you can compare the effects of market volatilities on Vishay Intertechnology and Intesa Sanpaolo 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 Vishay Intertechnology with a short position of Intesa Sanpaolo. Check out your portfolio center. Please also check ongoing floating volatility patterns of Vishay Intertechnology and Intesa Sanpaolo.
Diversification Opportunities for Vishay Intertechnology and Intesa Sanpaolo
-0.02 | Correlation Coefficient |
Good diversification
The 3 months correlation between Vishay and Intesa is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding Vishay Intertechnology and Intesa Sanpaolo SpA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Intesa Sanpaolo SpA and Vishay Intertechnology 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 Vishay Intertechnology are associated (or correlated) with Intesa Sanpaolo. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Intesa Sanpaolo SpA has no effect on the direction of Vishay Intertechnology i.e., Vishay Intertechnology and Intesa Sanpaolo go up and down completely randomly.
Pair Corralation between Vishay Intertechnology and Intesa Sanpaolo
Assuming the 90 days trading horizon Vishay Intertechnology is expected to under-perform the Intesa Sanpaolo. In addition to that, Vishay Intertechnology is 1.33 times more volatile than Intesa Sanpaolo SpA. It trades about 0.0 of its total potential returns per unit of risk. Intesa Sanpaolo SpA is currently generating about 0.11 per unit of volatility. If you would invest 175.00 in Intesa Sanpaolo SpA on September 13, 2024 and sell it today you would earn a total of 210.00 from holding Intesa Sanpaolo SpA or generate 120.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Vishay Intertechnology vs. Intesa Sanpaolo SpA
Performance |
| Timeline |
| Vishay Intertechnology |
| Intesa Sanpaolo SpA |
Vishay Intertechnology and Intesa Sanpaolo Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Vishay Intertechnology and Intesa Sanpaolo
The main advantage of trading using opposite Vishay Intertechnology and Intesa Sanpaolo positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Vishay Intertechnology position performs unexpectedly, Intesa Sanpaolo 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 Intesa Sanpaolo will offset losses from the drop in Intesa Sanpaolo's long position.| Vishay Intertechnology vs. Apple Inc | Vishay Intertechnology vs. Apple Inc | Vishay Intertechnology vs. Apple Inc | Vishay Intertechnology vs. Apple Inc |
| Intesa Sanpaolo vs. Tsingtao Brewery | Intesa Sanpaolo vs. ScanSource | Intesa Sanpaolo vs. Thai Beverage Public | Intesa Sanpaolo vs. Vishay Intertechnology |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| 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 | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |