Correlation Between ICICI Bank and Gillette India
Specify exactly 2 symbols:
By analyzing existing cross correlation between ICICI Bank Limited and Gillette India Limited, you can compare the effects of market volatilities on ICICI Bank and Gillette India 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 ICICI Bank with a short position of Gillette India. Check out your portfolio center. Please also check ongoing floating volatility patterns of ICICI Bank and Gillette India.
Diversification Opportunities for ICICI Bank and Gillette India
0.34 | Correlation Coefficient |
Weak diversification
The 3 months correlation between ICICI and Gillette is 0.34. Overlapping area represents the amount of risk that can be diversified away by holding ICICI Bank Limited and Gillette India Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gillette India and ICICI Bank 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 ICICI Bank Limited are associated (or correlated) with Gillette India. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gillette India has no effect on the direction of ICICI Bank i.e., ICICI Bank and Gillette India go up and down completely randomly.
Pair Corralation between ICICI Bank and Gillette India
Assuming the 90 days trading horizon ICICI Bank Limited is expected to generate 0.52 times more return on investment than Gillette India. However, ICICI Bank Limited is 1.94 times less risky than Gillette India. It trades about -0.13 of its potential returns per unit of risk. Gillette India Limited is currently generating about -0.1 per unit of risk. If you would invest 129,870 in ICICI Bank Limited on October 30, 2024 and sell it today you would lose (7,075) from holding ICICI Bank Limited or give up 5.45% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
ICICI Bank Limited vs. Gillette India Limited
Performance |
| Timeline |
| ICICI Bank Limited |
| Gillette India |
ICICI Bank and Gillette India Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ICICI Bank and Gillette India
The main advantage of trading using opposite ICICI Bank and Gillette India positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ICICI Bank position performs unexpectedly, Gillette India 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 Gillette India will offset losses from the drop in Gillette India's long position.| ICICI Bank vs. Yatharth Hospital Trauma | ICICI Bank vs. Teamlease Services Limited | ICICI Bank vs. UTI Asset Management | ICICI Bank vs. Silgo Retail Limited |
| Gillette India vs. MRF Limited | Gillette India vs. The Orissa Minerals | Gillette India vs. Honeywell Automation India | Gillette India vs. Page Industries Limited |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |