Correlation Between Aneka Tambang and Pointsbet Holdings
Can any of the company-specific risk be diversified away by investing in both Aneka Tambang and Pointsbet Holdings 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 Aneka Tambang and Pointsbet Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aneka Tambang Tbk and Pointsbet Holdings, you can compare the effects of market volatilities on Aneka Tambang and Pointsbet Holdings 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 Aneka Tambang with a short position of Pointsbet Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aneka Tambang and Pointsbet Holdings.
Diversification Opportunities for Aneka Tambang and Pointsbet Holdings
-0.78 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Aneka and Pointsbet is -0.78. Overlapping area represents the amount of risk that can be diversified away by holding Aneka Tambang Tbk and Pointsbet Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Pointsbet Holdings and Aneka Tambang 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 Aneka Tambang Tbk are associated (or correlated) with Pointsbet Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Pointsbet Holdings has no effect on the direction of Aneka Tambang i.e., Aneka Tambang and Pointsbet Holdings go up and down completely randomly.
Pair Corralation between Aneka Tambang and Pointsbet Holdings
Assuming the 90 days trading horizon Aneka Tambang Tbk is expected to under-perform the Pointsbet Holdings. But the stock apears to be less risky and, when comparing its historical volatility, Aneka Tambang Tbk is 3.16 times less risky than Pointsbet Holdings. The stock trades about 0.0 of its potential returns per unit of risk. The Pointsbet Holdings is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 100.00 in Pointsbet Holdings on September 3, 2024 and sell it today you would earn a total of 4.00 from holding Pointsbet Holdings or generate 4.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Aneka Tambang Tbk vs. Pointsbet Holdings
Performance |
| Timeline |
| Aneka Tambang Tbk |
| Pointsbet Holdings |
Aneka Tambang and Pointsbet Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aneka Tambang and Pointsbet Holdings
The main advantage of trading using opposite Aneka Tambang and Pointsbet Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aneka Tambang position performs unexpectedly, Pointsbet Holdings 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 Pointsbet Holdings will offset losses from the drop in Pointsbet Holdings' long position.| Aneka Tambang vs. Fisher Paykel Healthcare | Aneka Tambang vs. Capitol Health | Aneka Tambang vs. Nine Entertainment Co | Aneka Tambang vs. Lendlease Group |
| Pointsbet Holdings vs. Bailador Technology Invest | Pointsbet Holdings vs. Perpetual Credit Income | Pointsbet Holdings vs. Auswide Bank | Pointsbet Holdings vs. Macquarie Technology Group |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Other Complementary Tools
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |