Correlation Between Aqua Public and Akkhie Prakarn
Can any of the company-specific risk be diversified away by investing in both Aqua Public and Akkhie Prakarn 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 Aqua Public and Akkhie Prakarn into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aqua Public and Akkhie Prakarn Public, you can compare the effects of market volatilities on Aqua Public and Akkhie Prakarn 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 Aqua Public with a short position of Akkhie Prakarn. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aqua Public and Akkhie Prakarn.
Diversification Opportunities for Aqua Public and Akkhie Prakarn
0.72 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Aqua and Akkhie is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding Aqua Public and Akkhie Prakarn Public in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Akkhie Prakarn Public and Aqua 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 Aqua Public are associated (or correlated) with Akkhie Prakarn. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Akkhie Prakarn Public has no effect on the direction of Aqua Public i.e., Aqua Public and Akkhie Prakarn go up and down completely randomly.
Pair Corralation between Aqua Public and Akkhie Prakarn
Assuming the 90 days trading horizon Aqua Public is expected to generate 0.65 times more return on investment than Akkhie Prakarn. However, Aqua Public is 1.54 times less risky than Akkhie Prakarn. It trades about -0.05 of its potential returns per unit of risk. Akkhie Prakarn Public is currently generating about -0.17 per unit of risk. If you would invest 35.00 in Aqua Public on August 25, 2024 and sell it today you would lose (1.00) from holding Aqua Public or give up 2.86% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.65% |
| Values | Daily Returns |
Aqua Public vs. Akkhie Prakarn Public
Performance |
| Timeline |
| Aqua Public |
| Akkhie Prakarn Public |
Aqua Public and Akkhie Prakarn Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aqua Public and Akkhie Prakarn
The main advantage of trading using opposite Aqua Public and Akkhie Prakarn positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aqua Public position performs unexpectedly, Akkhie Prakarn 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 Akkhie Prakarn will offset losses from the drop in Akkhie Prakarn's long position.| Aqua Public vs. Bangkok Chain Hospital | Aqua Public vs. Grande Asset Hotels | Aqua Public vs. Better World Green | Aqua Public vs. Chularat Hospital Public |
| Akkhie Prakarn vs. AIRA Factoring Public | Akkhie Prakarn vs. Cho Thavee Public | Akkhie Prakarn vs. G Capital Public | Akkhie Prakarn vs. ARIP 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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |