Correlation Between Symtek Automation and AMPACS Corp
Can any of the company-specific risk be diversified away by investing in both Symtek Automation and AMPACS Corp 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 Symtek Automation and AMPACS Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Symtek Automation Asia and AMPACS Corp, you can compare the effects of market volatilities on Symtek Automation and AMPACS Corp 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 Symtek Automation with a short position of AMPACS Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of Symtek Automation and AMPACS Corp.
Diversification Opportunities for Symtek Automation and AMPACS Corp
-0.92 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Symtek and AMPACS is -0.92. Overlapping area represents the amount of risk that can be diversified away by holding Symtek Automation Asia and AMPACS Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AMPACS Corp and Symtek Automation 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 Symtek Automation Asia are associated (or correlated) with AMPACS Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AMPACS Corp has no effect on the direction of Symtek Automation i.e., Symtek Automation and AMPACS Corp go up and down completely randomly.
Pair Corralation between Symtek Automation and AMPACS Corp
Assuming the 90 days trading horizon Symtek Automation Asia is expected to generate 1.4 times more return on investment than AMPACS Corp. However, Symtek Automation is 1.4 times more volatile than AMPACS Corp. It trades about -0.11 of its potential returns per unit of risk. AMPACS Corp is currently generating about -0.27 per unit of risk. If you would invest 21,195 in Symtek Automation Asia on September 12, 2024 and sell it today you would lose (2,145) from holding Symtek Automation Asia or give up 10.12% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Symtek Automation Asia vs. AMPACS Corp
Performance |
| Timeline |
| Symtek Automation Asia |
| AMPACS Corp |
Symtek Automation and AMPACS Corp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Symtek Automation and AMPACS Corp
The main advantage of trading using opposite Symtek Automation and AMPACS Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Symtek Automation position performs unexpectedly, AMPACS Corp 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 AMPACS Corp will offset losses from the drop in AMPACS Corp's long position.| Symtek Automation vs. Highlight Tech | Symtek Automation vs. Ruentex Development Co | Symtek Automation vs. WiseChip Semiconductor | Symtek Automation vs. Novatek Microelectronics Corp |
| AMPACS Corp vs. Chicony Power Technology | AMPACS Corp vs. Coretronic | AMPACS Corp vs. Ruentex Development Co | AMPACS Corp vs. Symtek Automation Asia |
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 Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |