Correlation Between Alphanam and Techcom Vietnam
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By analyzing existing cross correlation between Alphanam ME and Techcom Vietnam REIT, you can compare the effects of market volatilities on Alphanam and Techcom Vietnam 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 Alphanam with a short position of Techcom Vietnam. Check out your portfolio center. Please also check ongoing floating volatility patterns of Alphanam and Techcom Vietnam.
Diversification Opportunities for Alphanam and Techcom Vietnam
0.65 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Alphanam and Techcom is 0.65. Overlapping area represents the amount of risk that can be diversified away by holding Alphanam ME and Techcom Vietnam REIT in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Techcom Vietnam REIT and Alphanam 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 Alphanam ME are associated (or correlated) with Techcom Vietnam. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Techcom Vietnam REIT has no effect on the direction of Alphanam i.e., Alphanam and Techcom Vietnam go up and down completely randomly.
Pair Corralation between Alphanam and Techcom Vietnam
Assuming the 90 days trading horizon Alphanam ME is expected to under-perform the Techcom Vietnam. But the stock apears to be less risky and, when comparing its historical volatility, Alphanam ME is 1.17 times less risky than Techcom Vietnam. The stock trades about -0.08 of its potential returns per unit of risk. The Techcom Vietnam REIT is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest 700,000 in Techcom Vietnam REIT on November 27, 2024 and sell it today you would lose (150,000) from holding Techcom Vietnam REIT or give up 21.43% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 80.83% |
| Values | Daily Returns |
Alphanam ME vs. Techcom Vietnam REIT
Performance |
| Timeline |
| Alphanam ME |
| Techcom Vietnam REIT |
Alphanam and Techcom Vietnam Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Alphanam and Techcom Vietnam
The main advantage of trading using opposite Alphanam and Techcom Vietnam positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Alphanam position performs unexpectedly, Techcom Vietnam 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 Techcom Vietnam will offset losses from the drop in Techcom Vietnam's long position.| Alphanam vs. Viet Thanh Plastic | Alphanam vs. PostTelecommunication Equipment | Alphanam vs. Vietnam Airlines JSC | Alphanam vs. VTC Telecommunications JSC |
| Techcom Vietnam vs. FIT INVEST JSC | Techcom Vietnam vs. Damsan JSC | Techcom Vietnam vs. An Phat Plastic | Techcom Vietnam vs. Alphanam ME |
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.
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