Correlation Between Bank Yudha and Bank Ganesha
Can any of the company-specific risk be diversified away by investing in both Bank Yudha and Bank Ganesha 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 Bank Yudha and Bank Ganesha into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bank Yudha Bhakti and Bank Ganesha Tbk, you can compare the effects of market volatilities on Bank Yudha and Bank Ganesha 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 Bank Yudha with a short position of Bank Ganesha. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank Yudha and Bank Ganesha.
Diversification Opportunities for Bank Yudha and Bank Ganesha
-0.47 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Bank and Bank is -0.47. Overlapping area represents the amount of risk that can be diversified away by holding Bank Yudha Bhakti and Bank Ganesha Tbk in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bank Ganesha Tbk and Bank Yudha 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 Bank Yudha Bhakti are associated (or correlated) with Bank Ganesha. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bank Ganesha Tbk has no effect on the direction of Bank Yudha i.e., Bank Yudha and Bank Ganesha go up and down completely randomly.
Pair Corralation between Bank Yudha and Bank Ganesha
Assuming the 90 days trading horizon Bank Yudha Bhakti is expected to generate 2.48 times more return on investment than Bank Ganesha. However, Bank Yudha is 2.48 times more volatile than Bank Ganesha Tbk. It trades about 0.05 of its potential returns per unit of risk. Bank Ganesha Tbk is currently generating about 0.03 per unit of risk. If you would invest 26,000 in Bank Yudha Bhakti on August 29, 2024 and sell it today you would earn a total of 800.00 from holding Bank Yudha Bhakti or generate 3.08% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bank Yudha Bhakti vs. Bank Ganesha Tbk
Performance |
| Timeline |
| Bank Yudha Bhakti |
| Bank Ganesha Tbk |
Bank Yudha and Bank Ganesha Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank Yudha and Bank Ganesha
The main advantage of trading using opposite Bank Yudha and Bank Ganesha positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank Yudha position performs unexpectedly, Bank Ganesha 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 Bank Ganesha will offset losses from the drop in Bank Ganesha's long position.| Bank Yudha vs. Bank Artos Indonesia | Bank Yudha vs. Bk Harda Internasional | Bank Yudha vs. Bank Rakyat Indonesia | Bank Yudha vs. Bank Mnc Internasional |
| Bank Ganesha vs. Bk Harda Internasional | Bank Ganesha vs. Bank Yudha Bhakti | Bank Ganesha vs. Bank Mnc Internasional | Bank Ganesha vs. Bank Capital Indonesia |
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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |