Correlation Between ASM International and InTest
Can any of the company-specific risk be diversified away by investing in both ASM International and InTest 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 ASM International and InTest into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ASM International NV and inTest, you can compare the effects of market volatilities on ASM International and InTest 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 ASM International with a short position of InTest. Check out your portfolio center. Please also check ongoing floating volatility patterns of ASM International and InTest.
Diversification Opportunities for ASM International and InTest
0.81 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between ASM and InTest is 0.81. Overlapping area represents the amount of risk that can be diversified away by holding ASM International NV and inTest in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on inTest and ASM International 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 ASM International NV are associated (or correlated) with InTest. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of inTest has no effect on the direction of ASM International i.e., ASM International and InTest go up and down completely randomly.
Pair Corralation between ASM International and InTest
Assuming the 90 days trading horizon ASM International NV is expected to generate 0.85 times more return on investment than InTest. However, ASM International NV is 1.18 times less risky than InTest. It trades about 0.23 of its potential returns per unit of risk. inTest is currently generating about 0.14 per unit of risk. If you would invest 47,660 in ASM International NV on November 24, 2025 and sell it today you would earn a total of 23,280 from holding ASM International NV or generate 48.85% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 96.83% |
| Values | Daily Returns |
ASM International NV vs. inTest
Performance |
| Timeline |
| ASM International |
| inTest |
ASM International and InTest Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ASM International and InTest
The main advantage of trading using opposite ASM International and InTest positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ASM International position performs unexpectedly, InTest 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 InTest will offset losses from the drop in InTest's long position.| ASM International vs. BE Semiconductor Industries | ASM International vs. Adyen NV | ASM International vs. NV Nederlandsche Apparatenfabriek | ASM International vs. TKH Group NV |
| InTest vs. Amtech Systems | InTest vs. MagnaChip Semiconductor | InTest vs. QuickLogic | InTest vs. Mobix Labs |
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 Managers module to screen money managers from public funds and ETFs managed around the world.
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