Correlation Between Nok Airlines and SRENVX

Can any of the company-specific risk be diversified away by investing in both Nok Airlines and SRENVX 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 Nok Airlines and SRENVX into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Nok Airlines Public and SRENVX 5 02 APR 49, you can compare the effects of market volatilities on Nok Airlines and SRENVX 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 Nok Airlines with a short position of SRENVX. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nok Airlines and SRENVX.

Diversification Opportunities for Nok Airlines and SRENVX

0.0

Correlation Coefficient

Nok Airlines  SRENVX

Pay attention - limited upside

The 3 months correlation between Nok and SRENVX is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Nok Airlines Public and SRENVX 5 02 APR 49 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SRENVX 5 02 and Nok Airlines 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 Nok Airlines Public are associated (or correlated) with SRENVX. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SRENVX 5 02 has no effect on the direction of Nok Airlines i.e., Nok Airlines and SRENVX go up and down completely randomly.

Pair Corralation between Nok Airlines and SRENVX

If you would invest  9.50  in Nok Airlines Public on December 24, 2024 and sell it today you would earn a total of  0.00  from holding Nok Airlines Public or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	30.0%
Values	Daily Returns

Nok Airlines Public  vs.  SRENVX 5 02 APR 49

Nok Airlines Public

Risk-Adjusted Performance

Very Weak

Over the last 90 days Nok Airlines Public has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable technical and fundamental indicators, Nok Airlines is not utilizing all of its potentials. The newest stock price disturbance, may contribute to mid-run losses for the stockholders.

SRENVX 5 02

Risk-Adjusted Performance

Very Weak

Over the last 90 days SRENVX 5 02 APR 49 has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Bond's basic indicators remain somewhat strong which may send shares a bit higher in April 2025. The current disturbance may also be a sign of long term up-swing for SRENVX 5 02 APR 49 investors.

Pair Trading with Nok Airlines and SRENVX

The main advantage of trading using opposite Nok Airlines and SRENVX positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nok Airlines position performs unexpectedly, SRENVX 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 SRENVX will offset losses from the drop in SRENVX's long position.

The idea behind Nok Airlines Public and SRENVX 5 02 APR 49 pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Stocks Directory module to find actively traded stocks across global markets.