Correlation Between Comstock Holding and Mapletree Logistics
Can any of the company-specific risk be diversified away by investing in both Comstock Holding and Mapletree Logistics 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 Comstock Holding and Mapletree Logistics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Comstock Holding Companies and Mapletree Logistics Trust, you can compare the effects of market volatilities on Comstock Holding and Mapletree Logistics 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 Comstock Holding with a short position of Mapletree Logistics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Comstock Holding and Mapletree Logistics.
Diversification Opportunities for Comstock Holding and Mapletree Logistics
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Comstock and Mapletree is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Comstock Holding Companies and Mapletree Logistics Trust in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mapletree Logistics Trust and Comstock Holding 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 Comstock Holding Companies are associated (or correlated) with Mapletree Logistics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mapletree Logistics Trust has no effect on the direction of Comstock Holding i.e., Comstock Holding and Mapletree Logistics go up and down completely randomly.
Pair Corralation between Comstock Holding and Mapletree Logistics
Given the investment horizon of 90 days Comstock Holding Companies is expected to under-perform the Mapletree Logistics. In addition to that, Comstock Holding is 1.74 times more volatile than Mapletree Logistics Trust. It trades about -0.24 of its total potential returns per unit of risk. Mapletree Logistics Trust is currently generating about -0.14 per unit of volatility. If you would invest 111.00 in Mapletree Logistics Trust on August 29, 2024 and sell it today you would lose (10.00) from holding Mapletree Logistics Trust or give up 9.01% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Comstock Holding Companies vs. Mapletree Logistics Trust
Performance |
| Timeline |
| Comstock Holding Com |
| Mapletree Logistics Trust |
Comstock Holding and Mapletree Logistics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Comstock Holding and Mapletree Logistics
The main advantage of trading using opposite Comstock Holding and Mapletree Logistics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Comstock Holding position performs unexpectedly, Mapletree Logistics 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 Mapletree Logistics will offset losses from the drop in Mapletree Logistics' long position.| Comstock Holding vs. St Joe Company | Comstock Holding vs. Stratus Properties | Comstock Holding vs. Mitsui Fudosan Co | Comstock Holding vs. New World Development |
| Mapletree Logistics vs. CapitaLand Investment Limited | Mapletree Logistics vs. Cumberland Pharmaceuticals | Mapletree Logistics vs. Comstock Holding Companies | Mapletree Logistics vs. Viemed Healthcare |
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 Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Other Complementary Tools
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |