Correlation Between Lotus Eye and TTK Healthcare
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By analyzing existing cross correlation between Lotus Eye Hospital and TTK Healthcare Limited, you can compare the effects of market volatilities on Lotus Eye and TTK Healthcare 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 Lotus Eye with a short position of TTK Healthcare. Check out your portfolio center. Please also check ongoing floating volatility patterns of Lotus Eye and TTK Healthcare.
Diversification Opportunities for Lotus Eye and TTK Healthcare
0.71 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Lotus and TTK is 0.71. Overlapping area represents the amount of risk that can be diversified away by holding Lotus Eye Hospital and TTK Healthcare Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TTK Healthcare and Lotus Eye 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 Lotus Eye Hospital are associated (or correlated) with TTK Healthcare. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TTK Healthcare has no effect on the direction of Lotus Eye i.e., Lotus Eye and TTK Healthcare go up and down completely randomly.
Pair Corralation between Lotus Eye and TTK Healthcare
Assuming the 90 days trading horizon Lotus Eye Hospital is expected to under-perform the TTK Healthcare. In addition to that, Lotus Eye is 2.0 times more volatile than TTK Healthcare Limited. It trades about 0.0 of its total potential returns per unit of risk. TTK Healthcare Limited is currently generating about 0.04 per unit of volatility. If you would invest 134,580 in TTK Healthcare Limited on September 4, 2024 and sell it today you would earn a total of 18,155 from holding TTK Healthcare Limited or generate 13.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Lotus Eye Hospital vs. TTK Healthcare Limited
Performance |
| Timeline |
| Lotus Eye Hospital |
| TTK Healthcare |
Lotus Eye and TTK Healthcare Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Lotus Eye and TTK Healthcare
The main advantage of trading using opposite Lotus Eye and TTK Healthcare positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Lotus Eye position performs unexpectedly, TTK Healthcare 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 TTK Healthcare will offset losses from the drop in TTK Healthcare's long position.| Lotus Eye vs. GM Breweries Limited | Lotus Eye vs. Newgen Software Technologies | Lotus Eye vs. United Drilling Tools | Lotus Eye vs. Jindal Drilling And |
| TTK Healthcare vs. Sukhjit Starch Chemicals | TTK Healthcare vs. Himadri Speciality Chemical | TTK Healthcare vs. Lotus Eye Hospital | TTK Healthcare vs. Can Fin Homes |
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 Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
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