Correlation Between Optimix Mix and Optimix Wereld

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

By analyzing existing cross correlation between Optimix Mix Fund and Optimix Wereld Aandelen, you can compare the effects of market volatilities on Optimix Mix and Optimix Wereld 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 Optimix Mix with a short position of Optimix Wereld. Check out your portfolio center. Please also check ongoing floating volatility patterns of Optimix Mix and Optimix Wereld.

Diversification Opportunities for Optimix Mix and Optimix Wereld

0.95

Correlation Coefficient

Optimix Mix  Optimix Wereld

Almost no diversification

The 3 months correlation between Optimix and Optimix is 0.95. Overlapping area represents the amount of risk that can be diversified away by holding Optimix Mix Fund and Optimix Wereld Aandelen in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Optimix Wereld Aandelen and Optimix Mix 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 Optimix Mix Fund are associated (or correlated) with Optimix Wereld. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Optimix Wereld Aandelen has no effect on the direction of Optimix Mix i.e., Optimix Mix and Optimix Wereld go up and down completely randomly.

Pair Corralation between Optimix Mix and Optimix Wereld

Assuming the 90 days trading horizon Optimix Mix is expected to generate 2.5 times less return on investment than Optimix Wereld. But when comparing it to its historical volatility, Optimix Mix Fund is 1.98 times less risky than Optimix Wereld. It trades about 0.15 of its potential returns per unit of risk. Optimix Wereld Aandelen is currently generating about 0.19 of returns per unit of risk over similar time horizon. If you would invest  6,245  in Optimix Wereld Aandelen on May 22, 2025 and sell it today you would earn a total of  464.00  from holding Optimix Wereld Aandelen or generate 7.43% return on investment over 90 days.

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

Optimix Mix Fund  vs.  Optimix Wereld Aandelen

Optimix Mix Fund

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Optimix Mix Fund are ranked lower than 11 (%) of all funds and portfolios of funds over the last 90 days. Despite somewhat strong basic indicators, Optimix Mix is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Optimix Wereld Aandelen

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Optimix Wereld Aandelen are ranked lower than 14 (%) of all funds and portfolios of funds over the last 90 days. Despite somewhat weak basic indicators, Optimix Wereld may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with Optimix Mix and Optimix Wereld

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

The idea behind Optimix Mix Fund and Optimix Wereld Aandelen 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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.