Correlation Between Polyplex (Thailand) and Semperit Aktiengesellscha
Can any of the company-specific risk be diversified away by investing in both Polyplex (Thailand) and Semperit Aktiengesellscha 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 Polyplex (Thailand) and Semperit Aktiengesellscha into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Polyplex Public and Semperit Aktiengesellschaft Holding, you can compare the effects of market volatilities on Polyplex (Thailand) and Semperit Aktiengesellscha 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 Polyplex (Thailand) with a short position of Semperit Aktiengesellscha. Check out your portfolio center. Please also check ongoing floating volatility patterns of Polyplex (Thailand) and Semperit Aktiengesellscha.
Diversification Opportunities for Polyplex (Thailand) and Semperit Aktiengesellscha
-0.21 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Polyplex and Semperit is -0.21. Overlapping area represents the amount of risk that can be diversified away by holding Polyplex Public and Semperit Aktiengesellschaft Ho in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Semperit Aktiengesellscha and Polyplex (Thailand) 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 Polyplex Public are associated (or correlated) with Semperit Aktiengesellscha. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Semperit Aktiengesellscha has no effect on the direction of Polyplex (Thailand) i.e., Polyplex (Thailand) and Semperit Aktiengesellscha go up and down completely randomly.
Pair Corralation between Polyplex (Thailand) and Semperit Aktiengesellscha
Assuming the 90 days horizon Polyplex Public is expected to generate 17.01 times more return on investment than Semperit Aktiengesellscha. However, Polyplex (Thailand) is 17.01 times more volatile than Semperit Aktiengesellschaft Holding. It trades about 0.21 of its potential returns per unit of risk. Semperit Aktiengesellschaft Holding is currently generating about 0.0 per unit of risk. If you would invest 14.00 in Polyplex Public on September 1, 2024 and sell it today you would earn a total of 19.00 from holding Polyplex Public or generate 135.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Polyplex Public vs. Semperit Aktiengesellschaft Ho
Performance |
| Timeline |
| Polyplex (Thailand) |
| Semperit Aktiengesellscha |
Polyplex (Thailand) and Semperit Aktiengesellscha Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Polyplex (Thailand) and Semperit Aktiengesellscha
The main advantage of trading using opposite Polyplex (Thailand) and Semperit Aktiengesellscha positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Polyplex (Thailand) position performs unexpectedly, Semperit Aktiengesellscha 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 Semperit Aktiengesellscha will offset losses from the drop in Semperit Aktiengesellscha's long position.| Polyplex (Thailand) vs. Strategic Education | Polyplex (Thailand) vs. Xinhua Winshare Publishing | Polyplex (Thailand) vs. TAL Education Group | Polyplex (Thailand) vs. BLUESCOPE STEEL |
| Semperit Aktiengesellscha vs. Bridgestone | Semperit Aktiengesellscha vs. The Goodyear Tire | Semperit Aktiengesellscha vs. Sumitomo Rubber Industries | Semperit Aktiengesellscha vs. Zeon Corporation |
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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Commodity Directory Find actively traded commodities issued by global exchanges |