Correlation Between Bank Maspion and GoTo Gojek
Can any of the company-specific risk be diversified away by investing in both Bank Maspion and GoTo Gojek 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 Maspion and GoTo Gojek into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bank Maspion Indonesia and GoTo Gojek Tokopedia, you can compare the effects of market volatilities on Bank Maspion and GoTo Gojek 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 Maspion with a short position of GoTo Gojek. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank Maspion and GoTo Gojek.
Diversification Opportunities for Bank Maspion and GoTo Gojek
-0.7 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Bank and GoTo is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding Bank Maspion Indonesia and GoTo Gojek Tokopedia in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GoTo Gojek Tokopedia and Bank Maspion 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 Maspion Indonesia are associated (or correlated) with GoTo Gojek. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GoTo Gojek Tokopedia has no effect on the direction of Bank Maspion i.e., Bank Maspion and GoTo Gojek go up and down completely randomly.
Pair Corralation between Bank Maspion and GoTo Gojek
Assuming the 90 days trading horizon Bank Maspion Indonesia is expected to under-perform the GoTo Gojek. But the stock apears to be less risky and, when comparing its historical volatility, Bank Maspion Indonesia is 3.89 times less risky than GoTo Gojek. The stock trades about -0.59 of its potential returns per unit of risk. The GoTo Gojek Tokopedia is currently generating about 0.24 of returns per unit of risk over similar time horizon. If you would invest 7,100 in GoTo Gojek Tokopedia on October 22, 2024 and sell it today you would earn a total of 1,300 from holding GoTo Gojek Tokopedia or generate 18.31% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bank Maspion Indonesia vs. GoTo Gojek Tokopedia
Performance |
| Timeline |
| Bank Maspion Indonesia |
| GoTo Gojek Tokopedia |
Bank Maspion and GoTo Gojek Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank Maspion and GoTo Gojek
The main advantage of trading using opposite Bank Maspion and GoTo Gojek positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank Maspion position performs unexpectedly, GoTo Gojek 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 GoTo Gojek will offset losses from the drop in GoTo Gojek's long position.| Bank Maspion vs. Bank Mestika Dharma | Bank Maspion vs. Bank Sinarmas Tbk | Bank Maspion vs. Bank Ina Perdana | Bank Maspion vs. Bank Qnb Indonesia |
| GoTo Gojek vs. PT Bukalapak | GoTo Gojek vs. Bank Artos Indonesia | GoTo Gojek vs. Elang Mahkota Teknologi | GoTo Gojek vs. Adaro Minerals 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
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |