Correlation Between Acset Indonusa and Aesler Grup
Can any of the company-specific risk be diversified away by investing in both Acset Indonusa and Aesler Grup 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 Acset Indonusa and Aesler Grup into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Acset Indonusa Tbk and Aesler Grup Internasional, you can compare the effects of market volatilities on Acset Indonusa and Aesler Grup 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 Acset Indonusa with a short position of Aesler Grup. Check out your portfolio center. Please also check ongoing floating volatility patterns of Acset Indonusa and Aesler Grup.
Diversification Opportunities for Acset Indonusa and Aesler Grup
-0.68 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Acset and Aesler is -0.68. Overlapping area represents the amount of risk that can be diversified away by holding Acset Indonusa Tbk and Aesler Grup Internasional in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aesler Grup Internasional and Acset Indonusa 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 Acset Indonusa Tbk are associated (or correlated) with Aesler Grup. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aesler Grup Internasional has no effect on the direction of Acset Indonusa i.e., Acset Indonusa and Aesler Grup go up and down completely randomly.
Pair Corralation between Acset Indonusa and Aesler Grup
If you would invest 8,900 in Acset Indonusa Tbk on November 3, 2024 and sell it today you would earn a total of 0.00 from holding Acset Indonusa Tbk or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 94.74% |
| Values | Daily Returns |
Acset Indonusa Tbk vs. Aesler Grup Internasional
Performance |
| Timeline |
| Acset Indonusa Tbk |
| Aesler Grup Internasional |
Acset Indonusa and Aesler Grup Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Acset Indonusa and Aesler Grup
The main advantage of trading using opposite Acset Indonusa and Aesler Grup positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Acset Indonusa position performs unexpectedly, Aesler Grup 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 Aesler Grup will offset losses from the drop in Aesler Grup's long position.| Acset Indonusa vs. Bekasi Fajar Industrial | Acset Indonusa vs. Nusa Raya Cipta | Acset Indonusa vs. Wijaya Karya Beton | Acset Indonusa vs. Agung Podomoro Land |
| Aesler Grup vs. Indo Acidatama Tbk | Aesler Grup vs. Dharma Polimetal Tbk | Aesler Grup vs. Humpuss Intermoda Transportasi | Aesler Grup vs. Hotel Sahid Jaya |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
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