Correlation Between Schibsted ASA and H FARM
Can any of the company-specific risk be diversified away by investing in both Schibsted ASA and H FARM 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 Schibsted ASA and H FARM into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Schibsted ASA A and H FARM SPA, you can compare the effects of market volatilities on Schibsted ASA and H FARM 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 Schibsted ASA with a short position of H FARM. Check out your portfolio center. Please also check ongoing floating volatility patterns of Schibsted ASA and H FARM.
Diversification Opportunities for Schibsted ASA and H FARM
-0.79 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Schibsted and 5JQ is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Schibsted ASA A and H FARM SPA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on H FARM SPA and Schibsted ASA 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 Schibsted ASA A are associated (or correlated) with H FARM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of H FARM SPA has no effect on the direction of Schibsted ASA i.e., Schibsted ASA and H FARM go up and down completely randomly.
Pair Corralation between Schibsted ASA and H FARM
If you would invest 12.00 in H FARM SPA on September 15, 2024 and sell it today you would earn a total of 0.00 from holding H FARM SPA or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 0.0% |
| Values | Daily Returns |
Schibsted ASA A vs. H FARM SPA
Performance |
| Timeline |
| Schibsted ASA A |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Good
| H FARM SPA |
Schibsted ASA and H FARM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Schibsted ASA and H FARM
The main advantage of trading using opposite Schibsted ASA and H FARM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Schibsted ASA position performs unexpectedly, H FARM 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 H FARM will offset losses from the drop in H FARM's long position.| Schibsted ASA vs. National Health Investors | Schibsted ASA vs. EHEALTH | Schibsted ASA vs. Ultra Clean Holdings | Schibsted ASA vs. New Residential Investment |
| H FARM vs. Ameriprise Financial | H FARM vs. Ares Management Corp | H FARM vs. Superior Plus Corp | H FARM vs. SIVERS SEMICONDUCTORS 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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Other Complementary Tools
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Stocks Directory Find actively traded stocks across global markets | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |