Correlation Between Gr Sarantis and N Leventeris

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

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

Diversification Opportunities for Gr Sarantis and N Leventeris

-0.38

Correlation Coefficient

Gr Sarantis  N Leventeris

Very good diversification

The 3 months correlation between SAR and LEBEP is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding Gr Sarantis SA 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 Gr Sarantis 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 Gr Sarantis SA 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 Gr Sarantis i.e., Gr Sarantis and N Leventeris go up and down completely randomly.

Pair Corralation between Gr Sarantis and N Leventeris

Assuming the 90 days trading horizon Gr Sarantis SA is expected to generate 0.57 times more return on investment than N Leventeris. However, Gr Sarantis SA is 1.76 times less risky than N Leventeris. It trades about 0.04 of its potential returns per unit of risk. N Leventeris SA is currently generating about 0.02 per unit of risk. If you would invest  1,299  in Gr Sarantis SA on April 24, 2025 and sell it today you would earn a total of  43.00  from holding Gr Sarantis SA or generate 3.31% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.41%
Values	Daily Returns

Gr Sarantis SA  vs.  N Leventeris SA

Gr Sarantis SA

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Gr Sarantis SA are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively stable basic indicators, Gr Sarantis is not utilizing all of its potentials. The newest stock price uproar, may contribute to short-horizon losses for the private investors.

N Leventeris SA

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in N Leventeris SA are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. 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 Gr Sarantis and N Leventeris

The main advantage of trading using opposite Gr Sarantis and N Leventeris positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gr Sarantis 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 Gr Sarantis SA 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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.