Correlation Between DAX Index and Sekisui House
Specify exactly 2 symbols:
By analyzing existing cross correlation between DAX Index and Sekisui House, you can compare the effects of market volatilities on DAX Index and Sekisui House 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 DAX Index with a short position of Sekisui House. Check out your portfolio center. Please also check ongoing floating volatility patterns of DAX Index and Sekisui House.
Diversification Opportunities for DAX Index and Sekisui House
-0.24 | Correlation Coefficient |
Very good diversification
The 3 months correlation between DAX and Sekisui is -0.24. Overlapping area represents the amount of risk that can be diversified away by holding DAX Index and Sekisui House in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sekisui House and DAX Index 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 DAX Index are associated (or correlated) with Sekisui House. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sekisui House has no effect on the direction of DAX Index i.e., DAX Index and Sekisui House go up and down completely randomly.
Pair Corralation between DAX Index and Sekisui House
Assuming the 90 days trading horizon DAX Index is expected to generate 0.64 times more return on investment than Sekisui House. However, DAX Index is 1.56 times less risky than Sekisui House. It trades about 0.18 of its potential returns per unit of risk. Sekisui House is currently generating about 0.0 per unit of risk. If you would invest 1,940,520 in DAX Index on September 24, 2024 and sell it today you would earn a total of 47,955 from holding DAX Index or generate 2.47% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
DAX Index vs. Sekisui House
Performance |
Timeline |
DAX Index and Sekisui House Volatility Contrast
Predicted Return Density |
Returns |
DAX Index
Pair trading matchups for DAX Index
Sekisui House
Pair trading matchups for Sekisui House
Pair Trading with DAX Index and Sekisui House
The main advantage of trading using opposite DAX Index and Sekisui House positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if DAX Index position performs unexpectedly, Sekisui House 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 Sekisui House will offset losses from the drop in Sekisui House's long position.DAX Index vs. Seven West Media | DAX Index vs. TERADATA | DAX Index vs. DICKER DATA LTD | DAX Index vs. Datang International Power |
Sekisui House vs. Diamyd Medical AB | Sekisui House vs. Apollo Medical Holdings | Sekisui House vs. XTANT MEDICAL HLDGS | Sekisui House vs. Chuangs China Investments |
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 Watchlist Optimization module to optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm.
Other Complementary Tools
ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Share Portfolio Track or share privately all of your investments from the convenience of any device |