Correlation Between Alpha Astika and N Leventeris

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

By analyzing existing cross correlation between Alpha Astika Akinita and N Leventeris SA, you can compare the effects of market volatilities on Alpha Astika and N Leventeris 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 Alpha Astika with a short position of N Leventeris. Check out your portfolio center. Please also check ongoing floating volatility patterns of Alpha Astika and N Leventeris.

Diversification Opportunities for Alpha Astika and N Leventeris

0.1

Correlation Coefficient

Alpha Astika  N Leventeris

Average diversification

The 3 months correlation between Alpha and LEBEP is 0.1. Overlapping area represents the amount of risk that can be diversified away by holding Alpha Astika Akinita and N Leventeris SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on N Leventeris SA and Alpha Astika 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 Alpha Astika Akinita are associated (or correlated) with N Leventeris. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of N Leventeris SA has no effect on the direction of Alpha Astika i.e., Alpha Astika and N Leventeris go up and down completely randomly.

Pair Corralation between Alpha Astika and N Leventeris

Assuming the 90 days trading horizon Alpha Astika Akinita is expected to generate 0.67 times more return on investment than N Leventeris. However, Alpha Astika Akinita is 1.5 times less risky than N Leventeris. It trades about 0.08 of its potential returns per unit of risk. N Leventeris SA is currently generating about -0.03 per unit of risk. If you would invest  654.00  in Alpha Astika Akinita on April 25, 2025 and sell it today you would earn a total of  70.00  from holding Alpha Astika Akinita or generate 10.7% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Alpha Astika Akinita  vs.  N Leventeris SA

Alpha Astika Akinita

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Alpha Astika Akinita are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. Despite somewhat weak basic indicators, Alpha Astika may actually be approaching a critical reversion point that can send shares even higher in August 2025.

N Leventeris SA

Risk-Adjusted Performance

Very Weak

Over the last 90 days N Leventeris SA has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, N Leventeris is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Alpha Astika and N Leventeris

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

The idea behind Alpha Astika Akinita and N Leventeris SA 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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.