Correlation Between COSMO FIRST and Electronics Mart
Specify exactly 2 symbols:
By analyzing existing cross correlation between COSMO FIRST LIMITED and Electronics Mart India, you can compare the effects of market volatilities on COSMO FIRST and Electronics Mart 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 COSMO FIRST with a short position of Electronics Mart. Check out your portfolio center. Please also check ongoing floating volatility patterns of COSMO FIRST and Electronics Mart.
Diversification Opportunities for COSMO FIRST and Electronics Mart
0.43 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between COSMO and Electronics is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding COSMO FIRST LIMITED and Electronics Mart India in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Electronics Mart India and COSMO FIRST 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 COSMO FIRST LIMITED are associated (or correlated) with Electronics Mart. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Electronics Mart India has no effect on the direction of COSMO FIRST i.e., COSMO FIRST and Electronics Mart go up and down completely randomly.
Pair Corralation between COSMO FIRST and Electronics Mart
Assuming the 90 days trading horizon COSMO FIRST LIMITED is expected to generate 0.51 times more return on investment than Electronics Mart. However, COSMO FIRST LIMITED is 1.95 times less risky than Electronics Mart. It trades about 0.08 of its potential returns per unit of risk. Electronics Mart India is currently generating about -0.1 per unit of risk. If you would invest 74,610 in COSMO FIRST LIMITED on August 29, 2024 and sell it today you would earn a total of 2,365 from holding COSMO FIRST LIMITED or generate 3.17% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
COSMO FIRST LIMITED vs. Electronics Mart India
Performance |
| Timeline |
| COSMO FIRST LIMITED |
| Electronics Mart India |
COSMO FIRST and Electronics Mart Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with COSMO FIRST and Electronics Mart
The main advantage of trading using opposite COSMO FIRST and Electronics Mart positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if COSMO FIRST position performs unexpectedly, Electronics Mart 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 Electronics Mart will offset losses from the drop in Electronics Mart's long position.| COSMO FIRST vs. HDFC Life Insurance | COSMO FIRST vs. Reliance Communications Limited | COSMO FIRST vs. Paramount Communications Limited | COSMO FIRST vs. Shyam Metalics and |
| Electronics Mart vs. Pilani Investment and | Electronics Mart vs. Baazar Style Retail | Electronics Mart vs. Kalyani Investment | Electronics Mart vs. Tata Investment |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |