Correlation Between WIG 30 and Synektik
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By analyzing existing cross correlation between WIG 30 and Synektik SA, you can compare the effects of market volatilities on WIG 30 and Synektik 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 WIG 30 with a short position of Synektik. Check out your portfolio center. Please also check ongoing floating volatility patterns of WIG 30 and Synektik.
Diversification Opportunities for WIG 30 and Synektik
Very poor diversification
The 3 months correlation between WIG and Synektik is 0.84. Overlapping area represents the amount of risk that can be diversified away by holding WIG 30 and Synektik SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Synektik SA and WIG 30 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 WIG 30 are associated (or correlated) with Synektik. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Synektik SA has no effect on the direction of WIG 30 i.e., WIG 30 and Synektik go up and down completely randomly.
Pair Corralation between WIG 30 and Synektik
Assuming the 90 days trading horizon WIG 30 is expected to generate 4.03 times less return on investment than Synektik. But when comparing it to its historical volatility, WIG 30 is 2.28 times less risky than Synektik. It trades about 0.07 of its potential returns per unit of risk. Synektik SA is currently generating about 0.13 of returns per unit of risk over similar time horizon. If you would invest 4,794 in Synektik SA on November 27, 2024 and sell it today you would earn a total of 17,606 from holding Synektik SA or generate 367.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
WIG 30 vs. Synektik SA
Performance |
| Timeline |
WIG 30 and Synektik Volatility Contrast
Predicted Return Density |
| Returns |
WIG 30
Pair trading matchups for WIG 30
Synektik SA
Pair trading matchups for Synektik
Pair Trading with WIG 30 and Synektik
The main advantage of trading using opposite WIG 30 and Synektik positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if WIG 30 position performs unexpectedly, Synektik 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 Synektik will offset losses from the drop in Synektik's long position.| WIG 30 vs. Echo Investment SA | WIG 30 vs. GreenX Metals | WIG 30 vs. All In Games | WIG 30 vs. TEN SQUARE GAMES |
| Synektik vs. Cloud Technologies SA | Synektik vs. Monnari Trade SA | Synektik vs. TEN SQUARE GAMES | Synektik vs. Creotech Instruments SA |
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 CEOs Directory module to screen CEOs from public companies around the world.
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