Correlation Between Indosat Tbk and PT Buana
Can any of the company-specific risk be diversified away by investing in both Indosat Tbk and PT Buana 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 Indosat Tbk and PT Buana into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Indosat Tbk and PT Buana Artha, you can compare the effects of market volatilities on Indosat Tbk and PT Buana 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 Indosat Tbk with a short position of PT Buana. Check out your portfolio center. Please also check ongoing floating volatility patterns of Indosat Tbk and PT Buana.
Diversification Opportunities for Indosat Tbk and PT Buana
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Indosat and STAR is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Indosat Tbk and PT Buana Artha in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PT Buana Artha and Indosat Tbk 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 Indosat Tbk are associated (or correlated) with PT Buana. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PT Buana Artha has no effect on the direction of Indosat Tbk i.e., Indosat Tbk and PT Buana go up and down completely randomly.
Pair Corralation between Indosat Tbk and PT Buana
If you would invest 220,000 in Indosat Tbk on September 13, 2024 and sell it today you would earn a total of 29,000 from holding Indosat Tbk or generate 13.18% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Indosat Tbk vs. PT Buana Artha
Performance |
| Timeline |
| Indosat Tbk |
| PT Buana Artha |
Indosat Tbk and PT Buana Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Indosat Tbk and PT Buana
The main advantage of trading using opposite Indosat Tbk and PT Buana positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Indosat Tbk position performs unexpectedly, PT Buana 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 PT Buana will offset losses from the drop in PT Buana's long position.| Indosat Tbk vs. Mnc Land Tbk | Indosat Tbk vs. MNC Vision Networks | Indosat Tbk vs. MD Pictures Tbk | Indosat Tbk vs. Link Net Tbk |
| PT Buana vs. Trisula International Tbk | PT Buana vs. Ricky Putra Globalindo | PT Buana vs. Sunson Textile Manufacturer | PT Buana vs. Sejahteraraya Anugrahjaya Tbk |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |