Correlation Between Bucharest BET-NG and OMX Copenhagen
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bucharest BET-NG and OMX Copenhagen All, you can compare the effects of market volatilities on Bucharest BET-NG and OMX Copenhagen 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 Bucharest BET-NG with a short position of OMX Copenhagen. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bucharest BET-NG and OMX Copenhagen.
Diversification Opportunities for Bucharest BET-NG and OMX Copenhagen
0.52 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Bucharest and OMX is 0.52. Overlapping area represents the amount of risk that can be diversified away by holding Bucharest BET-NG and OMX Copenhagen All in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on OMX Copenhagen All and Bucharest BET-NG 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 Bucharest BET-NG are associated (or correlated) with OMX Copenhagen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of OMX Copenhagen All has no effect on the direction of Bucharest BET-NG i.e., Bucharest BET-NG and OMX Copenhagen go up and down completely randomly.
Pair Corralation between Bucharest BET-NG and OMX Copenhagen
Assuming the 90 days trading horizon Bucharest BET-NG is expected to generate 0.44 times more return on investment than OMX Copenhagen. However, Bucharest BET-NG is 2.28 times less risky than OMX Copenhagen. It trades about 0.11 of its potential returns per unit of risk. OMX Copenhagen All is currently generating about -0.06 per unit of risk. If you would invest 121,872 in Bucharest BET-NG on February 4, 2024 and sell it today you would earn a total of 1,220 from holding Bucharest BET-NG or generate 1.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Weak |
Accuracy | 91.3% |
Values | Daily Returns |
Bucharest BET-NG vs. OMX Copenhagen All
Performance |
Timeline |
Bucharest BET-NG and OMX Copenhagen Volatility Contrast
Predicted Return Density |
Returns |
Bucharest BET-NG
Pair trading matchups for Bucharest BET-NG
OMX Copenhagen All
Pair trading matchups for OMX Copenhagen
Pair Trading with Bucharest BET-NG and OMX Copenhagen
The main advantage of trading using opposite Bucharest BET-NG and OMX Copenhagen positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bucharest BET-NG position performs unexpectedly, OMX Copenhagen 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 OMX Copenhagen will offset losses from the drop in OMX Copenhagen's long position.Bucharest BET-NG vs. IHUNT TECHNOLOGY IMPORT EXPORT | Bucharest BET-NG vs. Digi Communications NV | Bucharest BET-NG vs. Erste Group Bank | Bucharest BET-NG vs. AROBS TRANSILVANIA SOFTWARE |
OMX Copenhagen vs. Nordinvestments AS | OMX Copenhagen vs. Fynske Bank AS | OMX Copenhagen vs. Moens Bank AS | OMX Copenhagen vs. Prime Office AS |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
Commodity Directory Find actively traded commodities issued by global exchanges | |
Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
Content Syndication Quickly integrate customizable finance content to your own investment portal | |
Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
Economic Indicators Top statistical indicators that provide insights into how an economy is performing |