Correlation Between Canon and Voxeljet
Can any of the company-specific risk be diversified away by investing in both Canon and Voxeljet 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 Canon and Voxeljet into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Canon Inc and Voxeljet Ag, you can compare the effects of market volatilities on Canon and Voxeljet 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 Canon with a short position of Voxeljet. Check out your portfolio center. Please also check ongoing floating volatility patterns of Canon and Voxeljet.
Diversification Opportunities for Canon and Voxeljet
Very weak diversification
The 3 months correlation between Canon and Voxeljet is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding Canon Inc and Voxeljet Ag in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Voxeljet Ag and Canon 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 Canon Inc are associated (or correlated) with Voxeljet. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Voxeljet Ag has no effect on the direction of Canon i.e., Canon and Voxeljet go up and down completely randomly.
Pair Corralation between Canon and Voxeljet
If you would invest 164.00 in Voxeljet Ag on September 11, 2024 and sell it today you would earn a total of 0.00 from holding Voxeljet Ag or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Weak |
Accuracy | 1.59% |
Values | Daily Returns |
Canon Inc vs. Voxeljet Ag
Performance |
Timeline |
Canon Inc |
Voxeljet Ag |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Canon and Voxeljet Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Canon and Voxeljet
The main advantage of trading using opposite Canon and Voxeljet positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Canon position performs unexpectedly, Voxeljet 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 Voxeljet will offset losses from the drop in Voxeljet's long position.Canon vs. One Stop Systems | Canon vs. Artificial Intelligence Technology | Canon vs. Quantum Computing | Canon vs. Corsair Gaming |
Voxeljet vs. Stratasys | Voxeljet vs. Desktop Metal | Voxeljet vs. Nano Dimension | Voxeljet vs. Pure Storage |
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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
Other Complementary Tools
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Bonds Directory Find actively traded corporate debentures issued by US companies | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
Risk-Return Analysis View associations between returns expected from investment and the risk you assume |