Correlation Between BAWAG Group and Vienna Insurance

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

By analyzing existing cross correlation between BAWAG Group AG and Vienna Insurance Group, you can compare the effects of market volatilities on BAWAG Group and Vienna Insurance 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 BAWAG Group with a short position of Vienna Insurance. Check out your portfolio center. Please also check ongoing floating volatility patterns of BAWAG Group and Vienna Insurance.

Diversification Opportunities for BAWAG Group and Vienna Insurance

0.0

Correlation Coefficient

BAWAG Group  Vienna Insurance

Pay attention - limited upside

The 3 months correlation between BAWAG and Vienna is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding BAWAG Group AG and Vienna Insurance Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Vienna Insurance and BAWAG Group 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 BAWAG Group AG are associated (or correlated) with Vienna Insurance. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vienna Insurance has no effect on the direction of BAWAG Group i.e., BAWAG Group and Vienna Insurance go up and down completely randomly.

Pair Corralation between BAWAG Group and Vienna Insurance

If you would invest  4,227  in Vienna Insurance Group on May 7, 2025 and sell it today you would earn a total of  348.00  from holding Vienna Insurance Group or generate 8.23% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

BAWAG Group AG  vs.  Vienna Insurance Group

BAWAG Group AG

Risk-Adjusted Performance

Good

Over the last 90 days BAWAG Group AG has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong basic indicators, BAWAG Group is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

Vienna Insurance

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Vienna Insurance Group are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite fairly weak technical and fundamental indicators, Vienna Insurance may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with BAWAG Group and Vienna Insurance

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

The idea behind BAWAG Group AG and Vienna Insurance Group 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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..