Correlation Between Grab Holdings and Grab Holdings
Can any of the company-specific risk be diversified away by investing in both Grab Holdings and Grab Holdings 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 Grab Holdings and Grab Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Grab Holdings and Grab Holdings Limited, you can compare the effects of market volatilities on Grab Holdings and Grab Holdings 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 Grab Holdings with a short position of Grab Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Grab Holdings and Grab Holdings.
Diversification Opportunities for Grab Holdings and Grab Holdings
0.96 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Grab and Grab is 0.96. Overlapping area represents the amount of risk that can be diversified away by holding Grab Holdings and Grab Holdings Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Grab Holdings Limited and Grab Holdings 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 Grab Holdings are associated (or correlated) with Grab Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Grab Holdings Limited has no effect on the direction of Grab Holdings i.e., Grab Holdings and Grab Holdings go up and down completely randomly.
Pair Corralation between Grab Holdings and Grab Holdings
Given the investment horizon of 90 days Grab Holdings is expected to generate 2.03 times less return on investment than Grab Holdings. But when comparing it to its historical volatility, Grab Holdings is 2.52 times less risky than Grab Holdings. It trades about 0.24 of its potential returns per unit of risk. Grab Holdings Limited is currently generating about 0.19 of returns per unit of risk over similar time horizon. If you would invest 31.00 in Grab Holdings Limited on August 28, 2024 and sell it today you would earn a total of 13.00 from holding Grab Holdings Limited or generate 41.94% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Grab Holdings vs. Grab Holdings Limited
Performance |
| Timeline |
| Grab Holdings |
| Grab Holdings Limited |
Grab Holdings and Grab Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Grab Holdings and Grab Holdings
The main advantage of trading using opposite Grab Holdings and Grab Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Grab Holdings position performs unexpectedly, Grab Holdings 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 Grab Holdings will offset losses from the drop in Grab Holdings' long position.| Grab Holdings vs. Kingsoft Cloud Holdings | Grab Holdings vs. AMTD Digital | Grab Holdings vs. Zoom Video Communications | Grab Holdings vs. Snowflake |
| Grab Holdings vs. Grab Holdings | Grab Holdings vs. EVgo Equity Warrants | Grab Holdings vs. Bakkt Holdings Warrant |
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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
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