Correlation Between MNC Studios and MAP Aktif
Can any of the company-specific risk be diversified away by investing in both MNC Studios and MAP Aktif 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 MNC Studios and MAP Aktif into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between MNC Studios International and MAP Aktif Adiperkasa, you can compare the effects of market volatilities on MNC Studios and MAP Aktif 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 MNC Studios with a short position of MAP Aktif. Check out your portfolio center. Please also check ongoing floating volatility patterns of MNC Studios and MAP Aktif.
Diversification Opportunities for MNC Studios and MAP Aktif
0.85 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between MNC and MAP is 0.85. Overlapping area represents the amount of risk that can be diversified away by holding MNC Studios International and MAP Aktif Adiperkasa in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MAP Aktif Adiperkasa and MNC Studios 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 MNC Studios International are associated (or correlated) with MAP Aktif. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MAP Aktif Adiperkasa has no effect on the direction of MNC Studios i.e., MNC Studios and MAP Aktif go up and down completely randomly.
Pair Corralation between MNC Studios and MAP Aktif
Assuming the 90 days trading horizon MNC Studios International is expected to generate 1.85 times more return on investment than MAP Aktif. However, MNC Studios is 1.85 times more volatile than MAP Aktif Adiperkasa. It trades about -0.18 of its potential returns per unit of risk. MAP Aktif Adiperkasa is currently generating about -0.37 per unit of risk. If you would invest 72,000 in MNC Studios International on November 28, 2024 and sell it today you would lose (13,500) from holding MNC Studios International or give up 18.75% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 95.0% |
| Values | Daily Returns |
MNC Studios International vs. MAP Aktif Adiperkasa
Performance |
| Timeline |
| MNC Studios International |
| MAP Aktif Adiperkasa |
MNC Studios and MAP Aktif Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MNC Studios and MAP Aktif
The main advantage of trading using opposite MNC Studios and MAP Aktif positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MNC Studios position performs unexpectedly, MAP Aktif 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 MAP Aktif will offset losses from the drop in MAP Aktif's long position.| MNC Studios vs. Mnc Land Tbk | MNC Studios vs. MNC Vision Networks | MNC Studios vs. MD Pictures Tbk | MNC Studios vs. Link Net Tbk |
| MAP Aktif vs. Mitra Adiperkasa Tbk | MAP Aktif vs. Map Boga Adiperkasa | MAP Aktif vs. Mitra Keluarga Karyasehat | MAP Aktif vs. Medikaloka Hermina PT |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |