Correlation Between Havsfrun Investment and Troax Group
Can any of the company-specific risk be diversified away by investing in both Havsfrun Investment and Troax Group 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 Havsfrun Investment and Troax Group into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Havsfrun Investment AB and Troax Group AB, you can compare the effects of market volatilities on Havsfrun Investment and Troax Group 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 Havsfrun Investment with a short position of Troax Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of Havsfrun Investment and Troax Group.
Diversification Opportunities for Havsfrun Investment and Troax Group
0.47 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Havsfrun and Troax is 0.47. Overlapping area represents the amount of risk that can be diversified away by holding Havsfrun Investment AB and Troax Group AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Troax Group AB and Havsfrun Investment 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 Havsfrun Investment AB are associated (or correlated) with Troax Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Troax Group AB has no effect on the direction of Havsfrun Investment i.e., Havsfrun Investment and Troax Group go up and down completely randomly.
Pair Corralation between Havsfrun Investment and Troax Group
Assuming the 90 days trading horizon Havsfrun Investment AB is expected to under-perform the Troax Group. In addition to that, Havsfrun Investment is 1.55 times more volatile than Troax Group AB. It trades about -0.06 of its total potential returns per unit of risk. Troax Group AB is currently generating about -0.01 per unit of volatility. If you would invest 14,300 in Troax Group AB on September 8, 2025 and sell it today you would lose (380.00) from holding Troax Group AB or give up 2.66% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Havsfrun Investment AB vs. Troax Group AB
Performance |
| Timeline |
| Havsfrun Investment |
| Troax Group AB |
Havsfrun Investment and Troax Group Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Havsfrun Investment and Troax Group
The main advantage of trading using opposite Havsfrun Investment and Troax Group positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Havsfrun Investment position performs unexpectedly, Troax Group 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 Troax Group will offset losses from the drop in Troax Group's long position.| Havsfrun Investment vs. Link Prop Investment | Havsfrun Investment vs. Flowscape Technology AB | Havsfrun Investment vs. Nexam Chemical Holding | Havsfrun Investment vs. Nordea Bank Abp |
| Troax Group vs. USWE Sports AB | Troax Group vs. Episurf Medical AB | Troax Group vs. Link Prop Investment | Troax Group vs. Neola Medical AB |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |