Correlation Between SSIAM VNFIN and Alphanam
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By analyzing existing cross correlation between SSIAM VNFIN LEAD and Alphanam ME, you can compare the effects of market volatilities on SSIAM VNFIN and Alphanam 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 SSIAM VNFIN with a short position of Alphanam. Check out your portfolio center. Please also check ongoing floating volatility patterns of SSIAM VNFIN and Alphanam.
Diversification Opportunities for SSIAM VNFIN and Alphanam
-0.43 | Correlation Coefficient |
Very good diversification
The 3 months correlation between SSIAM and Alphanam is -0.43. Overlapping area represents the amount of risk that can be diversified away by holding SSIAM VNFIN LEAD and Alphanam ME in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Alphanam ME and SSIAM VNFIN 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 SSIAM VNFIN LEAD are associated (or correlated) with Alphanam. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Alphanam ME has no effect on the direction of SSIAM VNFIN i.e., SSIAM VNFIN and Alphanam go up and down completely randomly.
Pair Corralation between SSIAM VNFIN and Alphanam
Assuming the 90 days trading horizon SSIAM VNFIN LEAD is expected to generate 0.48 times more return on investment than Alphanam. However, SSIAM VNFIN LEAD is 2.1 times less risky than Alphanam. It trades about 0.06 of its potential returns per unit of risk. Alphanam ME is currently generating about -0.07 per unit of risk. If you would invest 1,503,000 in SSIAM VNFIN LEAD on August 25, 2024 and sell it today you would earn a total of 570,000 from holding SSIAM VNFIN LEAD or generate 37.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 68.97% |
| Values | Daily Returns |
SSIAM VNFIN LEAD vs. Alphanam ME
Performance |
| Timeline |
| SSIAM VNFIN LEAD |
| Alphanam ME |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
SSIAM VNFIN and Alphanam Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SSIAM VNFIN and Alphanam
The main advantage of trading using opposite SSIAM VNFIN and Alphanam positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SSIAM VNFIN position performs unexpectedly, Alphanam 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 Alphanam will offset losses from the drop in Alphanam's long position.| SSIAM VNFIN vs. Idico JSC | SSIAM VNFIN vs. Hochiminh City Metal | SSIAM VNFIN vs. Atesco Industrial Cartering | SSIAM VNFIN vs. MBG Group JSC |
| Alphanam vs. Transport and Industry | Alphanam vs. Petrolimex Information Technology | Alphanam vs. PVI Reinsurance Corp | Alphanam vs. Japan Vietnam Medical |
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 Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
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