Correlation Between Voltalia and Aramis SAS

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

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

Diversification Opportunities for Voltalia and Aramis SAS

-0.12

Correlation Coefficient

Voltalia  Aramis SAS

Good diversification

The 3 months correlation between Voltalia and Aramis is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding Voltalia SA and Aramis SAS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aramis SAS and Voltalia 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 Voltalia SA are associated (or correlated) with Aramis SAS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aramis SAS has no effect on the direction of Voltalia i.e., Voltalia and Aramis SAS go up and down completely randomly.

Pair Corralation between Voltalia and Aramis SAS

Assuming the 90 days trading horizon Voltalia SA is expected to generate 0.88 times more return on investment than Aramis SAS. However, Voltalia SA is 1.13 times less risky than Aramis SAS. It trades about 0.07 of its potential returns per unit of risk. Aramis SAS is currently generating about -0.17 per unit of risk. If you would invest  735.00  in Voltalia SA on April 25, 2025 and sell it today you would earn a total of  64.00  from holding Voltalia SA or generate 8.71% return on investment over 90 days.

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

Voltalia SA  vs.  Aramis SAS

Voltalia SA

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Voltalia SA are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Even with relatively weak basic indicators, Voltalia may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Aramis SAS

Risk-Adjusted Performance

Very Weak

Over the last 90 days Aramis SAS has generated negative risk-adjusted returns adding no value to investors with long positions. Even with weak performance in the last few months, the Stock's basic indicators remain relatively invariable which may send shares a bit higher in August 2025. The latest agitation may also be a sign of long-running up-swing for the enterprise retail investors.

Pair Trading with Voltalia and Aramis SAS

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

The idea behind Voltalia SA and Aramis SAS 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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.