Correlation Between Fortune Mate and Bekasi Fajar
Can any of the company-specific risk be diversified away by investing in both Fortune Mate and Bekasi Fajar 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 Fortune Mate and Bekasi Fajar into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Fortune Mate Indonesia and Bekasi Fajar Industrial, you can compare the effects of market volatilities on Fortune Mate and Bekasi Fajar 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 Fortune Mate with a short position of Bekasi Fajar. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fortune Mate and Bekasi Fajar.
Diversification Opportunities for Fortune Mate and Bekasi Fajar
-0.87 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Fortune and Bekasi is -0.87. Overlapping area represents the amount of risk that can be diversified away by holding Fortune Mate Indonesia and Bekasi Fajar Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bekasi Fajar Industrial and Fortune Mate 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 Fortune Mate Indonesia are associated (or correlated) with Bekasi Fajar. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bekasi Fajar Industrial has no effect on the direction of Fortune Mate i.e., Fortune Mate and Bekasi Fajar go up and down completely randomly.
Pair Corralation between Fortune Mate and Bekasi Fajar
If you would invest 10,600 in Bekasi Fajar Industrial on September 12, 2024 and sell it today you would earn a total of 500.00 from holding Bekasi Fajar Industrial or generate 4.72% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 95.24% |
| Values | Daily Returns |
Fortune Mate Indonesia vs. Bekasi Fajar Industrial
Performance |
| Timeline |
| Fortune Mate Indonesia |
| Bekasi Fajar Industrial |
Fortune Mate and Bekasi Fajar Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fortune Mate and Bekasi Fajar
The main advantage of trading using opposite Fortune Mate and Bekasi Fajar positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fortune Mate position performs unexpectedly, Bekasi Fajar 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 Bekasi Fajar will offset losses from the drop in Bekasi Fajar's long position.| Fortune Mate vs. Bekasi Fajar Industrial | Fortune Mate vs. Communication Cable Systems | Fortune Mate vs. Metrodata Electronics Tbk | Fortune Mate vs. Bank Ocbc Nisp |
| Bekasi Fajar vs. Ciputra Development Tbk | Bekasi Fajar vs. Bumi Serpong Damai | Bekasi Fajar vs. Alam Sutera Realty | Bekasi Fajar vs. Lippo Karawaci Tbk |
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
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |