Correlation Between AEON Thana and Dow Jones
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By analyzing existing cross correlation between AEON Thana Sinsap and Dow Jones Industrial, you can compare the effects of market volatilities on AEON Thana and Dow Jones 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 AEON Thana with a short position of Dow Jones. Check out your portfolio center. Please also check ongoing floating volatility patterns of AEON Thana and Dow Jones.
Diversification Opportunities for AEON Thana and Dow Jones
-0.05 | Correlation Coefficient |
Good diversification
The 3 months correlation between AEON and Dow is -0.05. Overlapping area represents the amount of risk that can be diversified away by holding AEON Thana Sinsap and Dow Jones Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dow Jones Industrial and AEON Thana 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 AEON Thana Sinsap are associated (or correlated) with Dow Jones. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dow Jones Industrial has no effect on the direction of AEON Thana i.e., AEON Thana and Dow Jones go up and down completely randomly.
Pair Corralation between AEON Thana and Dow Jones
Assuming the 90 days trading horizon AEON Thana Sinsap is expected to generate 110.25 times more return on investment than Dow Jones. However, AEON Thana is 110.25 times more volatile than Dow Jones Industrial. It trades about 0.07 of its potential returns per unit of risk. Dow Jones Industrial is currently generating about 0.08 per unit of risk. If you would invest 17,085 in AEON Thana Sinsap on September 3, 2024 and sell it today you would lose (4,585) from holding AEON Thana Sinsap or give up 26.84% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 96.57% |
| Values | Daily Returns |
AEON Thana Sinsap vs. Dow Jones Industrial
Performance |
| Timeline |
AEON Thana and Dow Jones Volatility Contrast
Predicted Return Density |
| Returns |
AEON Thana Sinsap
Pair trading matchups for AEON Thana
Dow Jones Industrial
Pair trading matchups for Dow Jones
Pair Trading with AEON Thana and Dow Jones
The main advantage of trading using opposite AEON Thana and Dow Jones positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AEON Thana position performs unexpectedly, Dow Jones 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 Dow Jones will offset losses from the drop in Dow Jones' long position.| AEON Thana vs. Grande Hospitality Real | AEON Thana vs. Exotic Food Public | AEON Thana vs. Jasmine Telecom Systems | AEON Thana vs. Charoen Pokphand Foods |
| Dow Jones vs. Eastern Co | Dow Jones vs. Uber Technologies | Dow Jones vs. AKITA Drilling | Dow Jones vs. Chemours Co |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
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