Correlation Between TOTALENERGIES MARKETING and SFS REAL

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

By analyzing existing cross correlation between TOTALENERGIES MARKETING NIGERIA and SFS REAL ESTATE, you can compare the effects of market volatilities on TOTALENERGIES MARKETING and SFS REAL 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 TOTALENERGIES MARKETING with a short position of SFS REAL. Check out your portfolio center. Please also check ongoing floating volatility patterns of TOTALENERGIES MARKETING and SFS REAL.

Diversification Opportunities for TOTALENERGIES MARKETING and SFS REAL

0.19

Correlation Coefficient

TOTALENERGIES MARKETING  SFS REAL

Average diversification

The 3 months correlation between TOTALENERGIES and SFS is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding TOTALENERGIES MARKETING NIGERI and SFS REAL ESTATE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SFS REAL ESTATE and TOTALENERGIES MARKETING 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 TOTALENERGIES MARKETING NIGERIA are associated (or correlated) with SFS REAL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SFS REAL ESTATE has no effect on the direction of TOTALENERGIES MARKETING i.e., TOTALENERGIES MARKETING and SFS REAL go up and down completely randomly.

Pair Corralation between TOTALENERGIES MARKETING and SFS REAL

If you would invest  24,925  in SFS REAL ESTATE on August 3, 2025 and sell it today you would earn a total of  16,950  from holding SFS REAL ESTATE or generate 68.0% return on investment over 90 days.

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

TOTALENERGIES MARKETING NIGERI  vs.  SFS REAL ESTATE

TOTALENERGIES MARKETING

Risk-Adjusted Performance

Weakest

Over the last 90 days TOTALENERGIES MARKETING NIGERIA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong basic indicators, TOTALENERGIES MARKETING is not utilizing all of its potentials. The newest stock price disturbance, may contribute to short-term losses for the investors.

SFS REAL ESTATE

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in SFS REAL ESTATE are ranked lower than 24 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak forward indicators, SFS REAL unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with TOTALENERGIES MARKETING and SFS REAL

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

The idea behind TOTALENERGIES MARKETING NIGERIA and SFS REAL ESTATE 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 Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.