Correlation Between CREDITACCESS GRAMEEN and Compucom Software
Specify exactly 2 symbols:
By analyzing existing cross correlation between CREDITACCESS GRAMEEN LIMITED and Compucom Software Limited, you can compare the effects of market volatilities on CREDITACCESS GRAMEEN and Compucom Software 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 CREDITACCESS GRAMEEN with a short position of Compucom Software. Check out your portfolio center. Please also check ongoing floating volatility patterns of CREDITACCESS GRAMEEN and Compucom Software.
Diversification Opportunities for CREDITACCESS GRAMEEN and Compucom Software
-0.47 | Correlation Coefficient |
Very good diversification
The 3 months correlation between CREDITACCESS and Compucom is -0.47. Overlapping area represents the amount of risk that can be diversified away by holding CREDITACCESS GRAMEEN LIMITED and Compucom Software Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Compucom Software and CREDITACCESS GRAMEEN 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 CREDITACCESS GRAMEEN LIMITED are associated (or correlated) with Compucom Software. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Compucom Software has no effect on the direction of CREDITACCESS GRAMEEN i.e., CREDITACCESS GRAMEEN and Compucom Software go up and down completely randomly.
Pair Corralation between CREDITACCESS GRAMEEN and Compucom Software
Assuming the 90 days trading horizon CREDITACCESS GRAMEEN LIMITED is expected to generate 1.55 times more return on investment than Compucom Software. However, CREDITACCESS GRAMEEN is 1.55 times more volatile than Compucom Software Limited. It trades about 0.18 of its potential returns per unit of risk. Compucom Software Limited is currently generating about -0.2 per unit of risk. If you would invest 91,125 in CREDITACCESS GRAMEEN LIMITED on November 7, 2024 and sell it today you would earn a total of 17,160 from holding CREDITACCESS GRAMEEN LIMITED or generate 18.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
CREDITACCESS GRAMEEN LIMITED vs. Compucom Software Limited
Performance |
| Timeline |
| CREDITACCESS GRAMEEN |
| Compucom Software |
CREDITACCESS GRAMEEN and Compucom Software Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CREDITACCESS GRAMEEN and Compucom Software
The main advantage of trading using opposite CREDITACCESS GRAMEEN and Compucom Software positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CREDITACCESS GRAMEEN position performs unexpectedly, Compucom Software 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 Compucom Software will offset losses from the drop in Compucom Software's long position.| CREDITACCESS GRAMEEN vs. Repco Home Finance | CREDITACCESS GRAMEEN vs. Hindware Home Innovation | CREDITACCESS GRAMEEN vs. Karur Vysya Bank | CREDITACCESS GRAMEEN vs. Arman Financial Services |
| Compucom Software vs. Nahar Industrial Enterprises | Compucom Software vs. Lakshmi Finance Industrial | Compucom Software vs. Ratnamani Metals Tubes | Compucom Software vs. Fortis Healthcare Limited |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| 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 |