Correlation Between PropertyGuru and Tencent Holdings
Can any of the company-specific risk be diversified away by investing in both PropertyGuru and Tencent Holdings 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 PropertyGuru and Tencent Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PropertyGuru Group and Tencent Holdings Ltd, you can compare the effects of market volatilities on PropertyGuru and Tencent Holdings 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 PropertyGuru with a short position of Tencent Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of PropertyGuru and Tencent Holdings.
Diversification Opportunities for PropertyGuru and Tencent Holdings
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between PropertyGuru and Tencent is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding PropertyGuru Group and Tencent Holdings Ltd in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Tencent Holdings and PropertyGuru 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 PropertyGuru Group are associated (or correlated) with Tencent Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Tencent Holdings has no effect on the direction of PropertyGuru i.e., PropertyGuru and Tencent Holdings go up and down completely randomly.
Pair Corralation between PropertyGuru and Tencent Holdings
If you would invest 4,853 in Tencent Holdings Ltd on August 24, 2024 and sell it today you would earn a total of 388.00 from holding Tencent Holdings Ltd or generate 8.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 1.59% |
| Values | Daily Returns |
PropertyGuru Group vs. Tencent Holdings Ltd
Performance |
| Timeline |
| PropertyGuru Group |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Tencent Holdings |
PropertyGuru and Tencent Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PropertyGuru and Tencent Holdings
The main advantage of trading using opposite PropertyGuru and Tencent Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PropertyGuru position performs unexpectedly, Tencent Holdings 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 Tencent Holdings will offset losses from the drop in Tencent Holdings' long position.| PropertyGuru vs. Comscore | PropertyGuru vs. Cheetah Mobile | PropertyGuru vs. EverQuote Class A | PropertyGuru vs. DouYu International Holdings |
| Tencent Holdings vs. Twilio Inc | Tencent Holdings vs. Snap Inc | Tencent Holdings vs. Alphabet Inc Class A | Tencent Holdings vs. Pinterest |
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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |