Correlation Between Viaplay Group and Swedencare Publ
Specify exactly 2 symbols:
By analyzing existing cross correlation between Viaplay Group AB and Swedencare publ AB, you can compare the effects of market volatilities on Viaplay Group and Swedencare Publ 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 Viaplay Group with a short position of Swedencare Publ. Check out your portfolio center. Please also check ongoing floating volatility patterns of Viaplay Group and Swedencare Publ.
Diversification Opportunities for Viaplay Group and Swedencare Publ
0.36 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Viaplay and Swedencare is 0.36. Overlapping area represents the amount of risk that can be diversified away by holding Viaplay Group AB and Swedencare publ AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Swedencare publ AB and Viaplay Group 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 Viaplay Group AB are associated (or correlated) with Swedencare Publ. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Swedencare publ AB has no effect on the direction of Viaplay Group i.e., Viaplay Group and Swedencare Publ go up and down completely randomly.
Pair Corralation between Viaplay Group and Swedencare Publ
Assuming the 90 days trading horizon Viaplay Group AB is expected to under-perform the Swedencare Publ. In addition to that, Viaplay Group is 2.23 times more volatile than Swedencare publ AB. It trades about -0.05 of its total potential returns per unit of risk. Swedencare publ AB is currently generating about -0.02 per unit of volatility. If you would invest 6,228 in Swedencare publ AB on November 3, 2024 and sell it today you would lose (1,208) from holding Swedencare publ AB or give up 19.4% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Viaplay Group AB vs. Swedencare publ AB
Performance |
| Timeline |
| Viaplay Group AB |
| Swedencare publ AB |
Viaplay Group and Swedencare Publ Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Viaplay Group and Swedencare Publ
The main advantage of trading using opposite Viaplay Group and Swedencare Publ positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Viaplay Group position performs unexpectedly, Swedencare Publ 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 Swedencare Publ will offset losses from the drop in Swedencare Publ's long position.The idea behind Viaplay Group AB and Swedencare publ AB pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| Swedencare Publ vs. New Nordic Healthbrands | Swedencare Publ vs. Nordic Asia Investment | Swedencare Publ vs. Upsales Technology AB | Swedencare Publ vs. Invisio Communications AB |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges |