Correlation Between FPT CAPITAL and Vietnam Maritime
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By analyzing existing cross correlation between FPT CAPITAL VNX50 and Vietnam Maritime Development, you can compare the effects of market volatilities on FPT CAPITAL and Vietnam Maritime 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 FPT CAPITAL with a short position of Vietnam Maritime. Check out your portfolio center. Please also check ongoing floating volatility patterns of FPT CAPITAL and Vietnam Maritime.
Diversification Opportunities for FPT CAPITAL and Vietnam Maritime
-0.09 | Correlation Coefficient |
Good diversification
The 3 months correlation between FPT and Vietnam is -0.09. Overlapping area represents the amount of risk that can be diversified away by holding FPT CAPITAL VNX50 and Vietnam Maritime Development in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Vietnam Maritime Dev and FPT CAPITAL 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 FPT CAPITAL VNX50 are associated (or correlated) with Vietnam Maritime. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vietnam Maritime Dev has no effect on the direction of FPT CAPITAL i.e., FPT CAPITAL and Vietnam Maritime go up and down completely randomly.
Pair Corralation between FPT CAPITAL and Vietnam Maritime
Assuming the 90 days trading horizon FPT CAPITAL VNX50 is expected to under-perform the Vietnam Maritime. But the etf apears to be less risky and, when comparing its historical volatility, FPT CAPITAL VNX50 is 4.03 times less risky than Vietnam Maritime. The etf trades about -0.03 of its potential returns per unit of risk. The Vietnam Maritime Development is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 2,200,000 in Vietnam Maritime Development on November 2, 2024 and sell it today you would earn a total of 110,000 from holding Vietnam Maritime Development or generate 5.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 58.25% |
Values | Daily Returns |
FPT CAPITAL VNX50 vs. Vietnam Maritime Development
Performance |
Timeline |
FPT CAPITAL VNX50 |
Vietnam Maritime Dev |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Weak
FPT CAPITAL and Vietnam Maritime Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with FPT CAPITAL and Vietnam Maritime
The main advantage of trading using opposite FPT CAPITAL and Vietnam Maritime positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if FPT CAPITAL position performs unexpectedly, Vietnam Maritime 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 Vietnam Maritime will offset losses from the drop in Vietnam Maritime's long position.FPT CAPITAL vs. Idico JSC | FPT CAPITAL vs. Vietnam Medicinal Materials | FPT CAPITAL vs. Hochiminh City Metal | FPT CAPITAL vs. Atesco Industrial Cartering |
Vietnam Maritime vs. Hochiminh City Metal | Vietnam Maritime vs. PostTelecommunication Equipment | Vietnam Maritime vs. Fecon Mining JSC | Vietnam Maritime vs. Transport and Industry |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
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