Correlation Between Hellenic Telecommunicatio and INTER CARS

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

By analyzing existing cross correlation between Hellenic Telecommunications Organization and INTER CARS SA, you can compare the effects of market volatilities on Hellenic Telecommunicatio and INTER CARS 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 Hellenic Telecommunicatio with a short position of INTER CARS. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hellenic Telecommunicatio and INTER CARS.

Diversification Opportunities for Hellenic Telecommunicatio and INTER CARS

-0.13

Correlation Coefficient

Hellenic Telecommunicatio  INTER CARS

Good diversification

The 3 months correlation between Hellenic and INTER is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Hellenic Telecommunications Or and INTER CARS SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on INTER CARS SA and Hellenic Telecommunicatio 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 Hellenic Telecommunications Organization are associated (or correlated) with INTER CARS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of INTER CARS SA has no effect on the direction of Hellenic Telecommunicatio i.e., Hellenic Telecommunicatio and INTER CARS go up and down completely randomly.

Pair Corralation between Hellenic Telecommunicatio and INTER CARS

Assuming the 90 days trading horizon Hellenic Telecommunicatio is expected to generate 15.15 times less return on investment than INTER CARS. But when comparing it to its historical volatility, Hellenic Telecommunications Organization is 2.1 times less risky than INTER CARS. It trades about 0.01 of its potential returns per unit of risk. INTER CARS SA is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest  13,026  in INTER CARS SA on April 25, 2025 and sell it today you would earn a total of  854.00  from holding INTER CARS SA or generate 6.56% return on investment over 90 days.

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

Hellenic Telecommunications Or  vs.  INTER CARS SA

Hellenic Telecommunicatio

Risk-Adjusted Performance

Insignificant

Over the last 90 days Hellenic Telecommunications Organization has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable technical and fundamental indicators, Hellenic Telecommunicatio is not utilizing all of its potentials. The newest stock price uproar, may contribute to short-horizon losses for the private investors.

INTER CARS SA

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in INTER CARS SA are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite nearly unsteady basic indicators, INTER CARS may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Pair Trading with Hellenic Telecommunicatio and INTER CARS

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

The idea behind Hellenic Telecommunications Organization and INTER CARS 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.

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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..