Correlation Between Materialise and Nano Dimension
Can any of the company-specific risk be diversified away by investing in both Materialise and Nano Dimension 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 Materialise and Nano Dimension into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Materialise NV and Nano Dimension, you can compare the effects of market volatilities on Materialise and Nano Dimension 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 Materialise with a short position of Nano Dimension. Check out your portfolio center. Please also check ongoing floating volatility patterns of Materialise and Nano Dimension.
Diversification Opportunities for Materialise and Nano Dimension
0.77 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Materialise and Nano is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Materialise NV and Nano Dimension in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nano Dimension and Materialise 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 Materialise NV are associated (or correlated) with Nano Dimension. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nano Dimension has no effect on the direction of Materialise i.e., Materialise and Nano Dimension go up and down completely randomly.
Pair Corralation between Materialise and Nano Dimension
Given the investment horizon of 90 days Materialise NV is expected to under-perform the Nano Dimension. In addition to that, Materialise is 1.02 times more volatile than Nano Dimension. It trades about -0.03 of its total potential returns per unit of risk. Nano Dimension is currently generating about 0.01 per unit of volatility. If you would invest 144.00 in Nano Dimension on June 13, 2025 and sell it today you would lose (1.00) from holding Nano Dimension or give up 0.69% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Materialise NV vs. Nano Dimension
Performance |
| Timeline |
| Materialise NV |
| Nano Dimension |
Materialise and Nano Dimension Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Materialise and Nano Dimension
The main advantage of trading using opposite Materialise and Nano Dimension positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Materialise position performs unexpectedly, Nano Dimension 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 Nano Dimension will offset losses from the drop in Nano Dimension's long position.| Materialise vs. Immersion | Materialise vs. ON24 Inc | Materialise vs. CS Disco LLC | Materialise vs. Proto Labs |
| Nano Dimension vs. Fabrinet | Nano Dimension vs. Knowles Cor | Nano Dimension vs. Ubiquiti Networks | Nano Dimension vs. Deswell Industries |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Complementary Tools
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities |