Correlation Between Indosat Tbk and Visi Media
Can any of the company-specific risk be diversified away by investing in both Indosat Tbk and Visi Media 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 Visi Media into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Indosat Tbk and Visi Media Asia, you can compare the effects of market volatilities on Indosat Tbk and Visi Media 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 Visi Media. Check out your portfolio center. Please also check ongoing floating volatility patterns of Indosat Tbk and Visi Media.
Diversification Opportunities for Indosat Tbk and Visi Media
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Indosat and Visi is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Indosat Tbk and Visi Media Asia in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Visi Media Asia 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 Visi Media. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Visi Media Asia has no effect on the direction of Indosat Tbk i.e., Indosat Tbk and Visi Media go up and down completely randomly.
Pair Corralation between Indosat Tbk and Visi Media
If you would invest 232,000 in Indosat Tbk on August 31, 2024 and sell it today you would earn a total of 5,000 from holding Indosat Tbk or generate 2.16% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Indosat Tbk vs. Visi Media Asia
Performance |
| Timeline |
| Indosat Tbk |
| Visi Media Asia |
Indosat Tbk and Visi Media Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Indosat Tbk and Visi Media
The main advantage of trading using opposite Indosat Tbk and Visi Media positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Indosat Tbk position performs unexpectedly, Visi Media 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 Visi Media will offset losses from the drop in Visi Media's long position.| Indosat Tbk vs. Astra Agro Lestari | Indosat Tbk vs. Vale Indonesia Tbk | Indosat Tbk vs. Timah Persero Tbk | Indosat Tbk vs. Medco Energi Internasional |
| Visi Media vs. Indosat Tbk | Visi Media vs. XL Axiata Tbk | Visi Media vs. Energi Mega Persada | Visi Media vs. Bakrie Brothers 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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Stocks Directory Find actively traded stocks across global markets | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine |