Correlation Between AP Public and Raimon Land
Can any of the company-specific risk be diversified away by investing in both AP Public and Raimon Land 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 AP Public and Raimon Land into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between AP Public and Raimon Land Public, you can compare the effects of market volatilities on AP Public and Raimon Land 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 AP Public with a short position of Raimon Land. Check out your portfolio center. Please also check ongoing floating volatility patterns of AP Public and Raimon Land.
Diversification Opportunities for AP Public and Raimon Land
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between AP Public and Raimon is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding AP Public and Raimon Land Public in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Raimon Land Public and AP Public 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 AP Public are associated (or correlated) with Raimon Land. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Raimon Land Public has no effect on the direction of AP Public i.e., AP Public and Raimon Land go up and down completely randomly.
Pair Corralation between AP Public and Raimon Land
Assuming the 90 days horizon AP Public is expected to under-perform the Raimon Land. But the stock apears to be less risky and, when comparing its historical volatility, AP Public is 38.81 times less risky than Raimon Land. The stock trades about -0.05 of its potential returns per unit of risk. The Raimon Land Public is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest 44.00 in Raimon Land Public on November 3, 2024 and sell it today you would lose (18.00) from holding Raimon Land Public or give up 40.91% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
AP Public vs. Raimon Land Public
Performance |
| Timeline |
| AP Public |
| Raimon Land Public |
AP Public and Raimon Land Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AP Public and Raimon Land
The main advantage of trading using opposite AP Public and Raimon Land positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AP Public position performs unexpectedly, Raimon Land 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 Raimon Land will offset losses from the drop in Raimon Land's long position.| AP Public vs. Land and Houses | AP Public vs. Quality Houses Public | AP Public vs. Bangkok Bank Public | AP Public vs. Siri Prime Office |
| Raimon Land vs. Land and Houses | Raimon Land vs. AP Public | Raimon Land vs. Quality Houses Public | Raimon Land vs. Central Pattana Public |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |