Correlation Between HNX 30 and Vietnam Petroleum
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By analyzing existing cross correlation between HNX 30 and Vietnam Petroleum Transport, you can compare the effects of market volatilities on HNX 30 and Vietnam Petroleum 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 HNX 30 with a short position of Vietnam Petroleum. Check out your portfolio center. Please also check ongoing floating volatility patterns of HNX 30 and Vietnam Petroleum.
Diversification Opportunities for HNX 30 and Vietnam Petroleum
-0.38 | Correlation Coefficient |
Very good diversification
The 3 months correlation between HNX and Vietnam is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding HNX 30 and Vietnam Petroleum Transport in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Vietnam Petroleum and HNX 30 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 HNX 30 are associated (or correlated) with Vietnam Petroleum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vietnam Petroleum has no effect on the direction of HNX 30 i.e., HNX 30 and Vietnam Petroleum go up and down completely randomly.
Pair Corralation between HNX 30 and Vietnam Petroleum
Assuming the 90 days trading horizon HNX 30 is expected to under-perform the Vietnam Petroleum. But the index apears to be less risky and, when comparing its historical volatility, HNX 30 is 1.86 times less risky than Vietnam Petroleum. The index trades about -0.02 of its potential returns per unit of risk. The Vietnam Petroleum Transport is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest 1,055,341 in Vietnam Petroleum Transport on August 25, 2024 and sell it today you would earn a total of 284,659 from holding Vietnam Petroleum Transport or generate 26.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.94% |
| Values | Daily Returns |
HNX 30 vs. Vietnam Petroleum Transport
Performance |
| Timeline |
HNX 30 and Vietnam Petroleum Volatility Contrast
Predicted Return Density |
| Returns |
HNX 30
Pair trading matchups for HNX 30
Vietnam Petroleum Transport
Pair trading matchups for Vietnam Petroleum
Pair Trading with HNX 30 and Vietnam Petroleum
The main advantage of trading using opposite HNX 30 and Vietnam Petroleum positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if HNX 30 position performs unexpectedly, Vietnam Petroleum 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 Petroleum will offset losses from the drop in Vietnam Petroleum's long position.| HNX 30 vs. Thanh Dat Investment | HNX 30 vs. Development Investment Construction | HNX 30 vs. TDT Investment and | HNX 30 vs. Dinhvu Port Investment |
| Vietnam Petroleum vs. Elcom Technology Communications | Vietnam Petroleum vs. Development Investment Construction | Vietnam Petroleum vs. 577 Investment Corp | Vietnam Petroleum vs. Asia Pacific Investment |
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 Money Managers module to screen money managers from public funds and ETFs managed around the world.
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