Correlation Between Oriental Hotels and Kalyani Investment
Specify exactly 2 symbols:
By analyzing existing cross correlation between Oriental Hotels Limited and Kalyani Investment, you can compare the effects of market volatilities on Oriental Hotels and Kalyani Investment 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 Oriental Hotels with a short position of Kalyani Investment. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oriental Hotels and Kalyani Investment.
Diversification Opportunities for Oriental Hotels and Kalyani Investment
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Oriental and Kalyani is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding Oriental Hotels Limited and Kalyani Investment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kalyani Investment and Oriental Hotels 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 Oriental Hotels Limited are associated (or correlated) with Kalyani Investment. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kalyani Investment has no effect on the direction of Oriental Hotels i.e., Oriental Hotels and Kalyani Investment go up and down completely randomly.
Pair Corralation between Oriental Hotels and Kalyani Investment
Assuming the 90 days trading horizon Oriental Hotels Limited is expected to generate 1.12 times more return on investment than Kalyani Investment. However, Oriental Hotels is 1.12 times more volatile than Kalyani Investment. It trades about -0.31 of its potential returns per unit of risk. Kalyani Investment is currently generating about -0.36 per unit of risk. If you would invest 18,191 in Oriental Hotels Limited on November 4, 2024 and sell it today you would lose (3,281) from holding Oriental Hotels Limited or give up 18.04% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Oriental Hotels Limited vs. Kalyani Investment
Performance |
| Timeline |
| Oriental Hotels |
| Kalyani Investment |
Oriental Hotels and Kalyani Investment Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oriental Hotels and Kalyani Investment
The main advantage of trading using opposite Oriental Hotels and Kalyani Investment positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oriental Hotels position performs unexpectedly, Kalyani Investment 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 Kalyani Investment will offset losses from the drop in Kalyani Investment's long position.| Oriental Hotels vs. Consolidated Construction Consortium | Oriental Hotels vs. Biofil Chemicals Pharmaceuticals | Oriental Hotels vs. Refex Industries Limited | Oriental Hotels vs. Kingfa Science Technology |
| Kalyani Investment vs. Ankit Metal Power | Kalyani Investment vs. Bank of Maharashtra | Kalyani Investment vs. CREDITACCESS GRAMEEN LIMITED | Kalyani Investment vs. Sportking India 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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |