Correlation Between Envipco Holding and Cambi ASA

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Can any of the company-specific risk be diversified away by investing in both Envipco Holding and Cambi ASA 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 Envipco Holding and Cambi ASA into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Envipco Holding NV and Cambi ASA, you can compare the effects of market volatilities on Envipco Holding and Cambi ASA 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 Envipco Holding with a short position of Cambi ASA. Check out your portfolio center. Please also check ongoing floating volatility patterns of Envipco Holding and Cambi ASA.

Diversification Opportunities for Envipco Holding and Cambi ASA

0.63
  Correlation Coefficient

Poor diversification

The 3 months correlation between Envipco and Cambi is 0.63. Overlapping area represents the amount of risk that can be diversified away by holding Envipco Holding NV and Cambi ASA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cambi ASA and Envipco Holding 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 Envipco Holding NV are associated (or correlated) with Cambi ASA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cambi ASA has no effect on the direction of Envipco Holding i.e., Envipco Holding and Cambi ASA go up and down completely randomly.

Pair Corralation between Envipco Holding and Cambi ASA

Assuming the 90 days trading horizon Envipco Holding NV is expected to under-perform the Cambi ASA. But the stock apears to be less risky and, when comparing its historical volatility, Envipco Holding NV is 1.19 times less risky than Cambi ASA. The stock trades about -0.1 of its potential returns per unit of risk. The Cambi ASA is currently generating about -0.04 of returns per unit of risk over similar time horizon. If you would invest  1,937  in Cambi ASA on October 6, 2025 and sell it today you would lose (187.00) from holding Cambi ASA or give up 9.65% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns

Envipco Holding NV  vs.  Cambi ASA

 Performance 
       Timeline  
Envipco Holding NV 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Envipco Holding NV has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of conflicting performance in the last few months, the Stock's basic indicators remain very healthy which may send shares a bit higher in February 2026. The recent disarray may also be a sign of long period up-swing for the firm investors.
Cambi ASA 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Cambi ASA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest conflicting performance, the Stock's basic indicators remain healthy and the recent disarray on Wall Street may also be a sign of long period gains for the firm investors.

Envipco Holding and Cambi ASA Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Envipco Holding and Cambi ASA

The main advantage of trading using opposite Envipco Holding and Cambi ASA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Envipco Holding position performs unexpectedly, Cambi ASA 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 Cambi ASA will offset losses from the drop in Cambi ASA's long position.
The idea behind Envipco Holding NV and Cambi ASA 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 Transaction History module to view history of all your transactions and understand their impact on performance.

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