Correlation Between SSIAM VNFIN and Duc Thanh
Specify exactly 2 symbols:
By analyzing existing cross correlation between SSIAM VNFIN LEAD and Duc Thanh Wood, you can compare the effects of market volatilities on SSIAM VNFIN and Duc Thanh 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 Duc Thanh. Check out your portfolio center. Please also check ongoing floating volatility patterns of SSIAM VNFIN and Duc Thanh.
Diversification Opportunities for SSIAM VNFIN and Duc Thanh
-0.66 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between SSIAM and Duc is -0.66. Overlapping area represents the amount of risk that can be diversified away by holding SSIAM VNFIN LEAD and Duc Thanh Wood in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Duc Thanh Wood 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 Duc Thanh. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Duc Thanh Wood has no effect on the direction of SSIAM VNFIN i.e., SSIAM VNFIN and Duc Thanh go up and down completely randomly.
Pair Corralation between SSIAM VNFIN and Duc Thanh
Assuming the 90 days trading horizon SSIAM VNFIN LEAD is expected to generate 0.82 times more return on investment than Duc Thanh. However, SSIAM VNFIN LEAD is 1.22 times less risky than Duc Thanh. It trades about 0.06 of its potential returns per unit of risk. Duc Thanh Wood is currently generating about 0.01 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 | Weak |
| Accuracy | 99.8% |
| Values | Daily Returns |
SSIAM VNFIN LEAD vs. Duc Thanh Wood
Performance |
| Timeline |
| SSIAM VNFIN LEAD |
| Duc Thanh Wood |
SSIAM VNFIN and Duc Thanh Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SSIAM VNFIN and Duc Thanh
The main advantage of trading using opposite SSIAM VNFIN and Duc Thanh positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SSIAM VNFIN position performs unexpectedly, Duc Thanh 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 Duc Thanh will offset losses from the drop in Duc Thanh'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 |
| Duc Thanh vs. FIT INVEST JSC | Duc Thanh vs. Damsan JSC | Duc Thanh vs. An Phat Plastic | Duc Thanh vs. APG Securities Joint |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets |