Correlation Between Gunawan Dianjaya and Darmi Bersaudara
Can any of the company-specific risk be diversified away by investing in both Gunawan Dianjaya and Darmi Bersaudara 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 Gunawan Dianjaya and Darmi Bersaudara into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gunawan Dianjaya Steel and Darmi Bersaudara Tbk, you can compare the effects of market volatilities on Gunawan Dianjaya and Darmi Bersaudara 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 Gunawan Dianjaya with a short position of Darmi Bersaudara. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gunawan Dianjaya and Darmi Bersaudara.
Diversification Opportunities for Gunawan Dianjaya and Darmi Bersaudara
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Gunawan and Darmi is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Gunawan Dianjaya Steel and Darmi Bersaudara Tbk in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Darmi Bersaudara Tbk and Gunawan Dianjaya 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 Gunawan Dianjaya Steel are associated (or correlated) with Darmi Bersaudara. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Darmi Bersaudara Tbk has no effect on the direction of Gunawan Dianjaya i.e., Gunawan Dianjaya and Darmi Bersaudara go up and down completely randomly.
Pair Corralation between Gunawan Dianjaya and Darmi Bersaudara
If you would invest 1,800 in Darmi Bersaudara Tbk on August 28, 2024 and sell it today you would earn a total of 0.00 from holding Darmi Bersaudara Tbk or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gunawan Dianjaya Steel vs. Darmi Bersaudara Tbk
Performance |
| Timeline |
| Gunawan Dianjaya Steel |
| Darmi Bersaudara Tbk |
Gunawan Dianjaya and Darmi Bersaudara Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gunawan Dianjaya and Darmi Bersaudara
The main advantage of trading using opposite Gunawan Dianjaya and Darmi Bersaudara positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gunawan Dianjaya position performs unexpectedly, Darmi Bersaudara 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 Darmi Bersaudara will offset losses from the drop in Darmi Bersaudara's long position.| Gunawan Dianjaya vs. Kedaung Indah Can | Gunawan Dianjaya vs. Langgeng Makmur Industri | Gunawan Dianjaya vs. Kabelindo Murni Tbk | Gunawan Dianjaya vs. Mustika Ratu Tbk |
| Darmi Bersaudara vs. Nusantara Almazia | Darmi Bersaudara vs. Gaya Abadi Sempurna | Darmi Bersaudara vs. Kencana Energi Lestari | Darmi Bersaudara vs. Cahayaputra Asa Keramik |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency |