Correlation Between Adaptive Plasma and Sam Yang
Can any of the company-specific risk be diversified away by investing in both Adaptive Plasma and Sam Yang 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 Adaptive Plasma and Sam Yang into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Adaptive Plasma Technology and Sam Yang Foods, you can compare the effects of market volatilities on Adaptive Plasma and Sam Yang 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 Adaptive Plasma with a short position of Sam Yang. Check out your portfolio center. Please also check ongoing floating volatility patterns of Adaptive Plasma and Sam Yang.
Diversification Opportunities for Adaptive Plasma and Sam Yang
-0.33 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Adaptive and Sam is -0.33. Overlapping area represents the amount of risk that can be diversified away by holding Adaptive Plasma Technology and Sam Yang Foods in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sam Yang Foods and Adaptive Plasma 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 Adaptive Plasma Technology are associated (or correlated) with Sam Yang. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sam Yang Foods has no effect on the direction of Adaptive Plasma i.e., Adaptive Plasma and Sam Yang go up and down completely randomly.
Pair Corralation between Adaptive Plasma and Sam Yang
Assuming the 90 days trading horizon Adaptive Plasma Technology is expected to under-perform the Sam Yang. But the stock apears to be less risky and, when comparing its historical volatility, Adaptive Plasma Technology is 1.01 times less risky than Sam Yang. The stock trades about -0.25 of its potential returns per unit of risk. The Sam Yang Foods is currently generating about 0.01 of returns per unit of risk over similar time horizon. If you would invest 52,200,000 in Sam Yang Foods on August 29, 2024 and sell it today you would lose (300,000) from holding Sam Yang Foods or give up 0.57% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Adaptive Plasma Technology vs. Sam Yang Foods
Performance |
| Timeline |
| Adaptive Plasma Tech |
| Sam Yang Foods |
Adaptive Plasma and Sam Yang Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Adaptive Plasma and Sam Yang
The main advantage of trading using opposite Adaptive Plasma and Sam Yang positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Adaptive Plasma position performs unexpectedly, Sam Yang 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 Sam Yang will offset losses from the drop in Sam Yang's long position.| Adaptive Plasma vs. Sam Yang Foods | Adaptive Plasma vs. Youngsin Metal Industrial | Adaptive Plasma vs. Hankukpackage Co | Adaptive Plasma vs. Samlip General Foods |
| Sam Yang vs. AptaBio Therapeutics | Sam Yang vs. Daewoo SBI SPAC | Sam Yang vs. Dream Security co | Sam Yang vs. Microfriend |
Check out your portfolio center.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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |