Correlation Between Pritish Nandy and ICICI Bank
Specify exactly 2 symbols:
By analyzing existing cross correlation between Pritish Nandy Communications and ICICI Bank Limited, you can compare the effects of market volatilities on Pritish Nandy and ICICI Bank 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 Pritish Nandy with a short position of ICICI Bank. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pritish Nandy and ICICI Bank.
Diversification Opportunities for Pritish Nandy and ICICI Bank
0.04 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Pritish and ICICI is 0.04. Overlapping area represents the amount of risk that can be diversified away by holding Pritish Nandy Communications and ICICI Bank Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ICICI Bank Limited and Pritish Nandy 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 Pritish Nandy Communications are associated (or correlated) with ICICI Bank. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ICICI Bank Limited has no effect on the direction of Pritish Nandy i.e., Pritish Nandy and ICICI Bank go up and down completely randomly.
Pair Corralation between Pritish Nandy and ICICI Bank
Assuming the 90 days trading horizon Pritish Nandy Communications is expected to generate 3.05 times more return on investment than ICICI Bank. However, Pritish Nandy is 3.05 times more volatile than ICICI Bank Limited. It trades about 0.04 of its potential returns per unit of risk. ICICI Bank Limited is currently generating about 0.08 per unit of risk. If you would invest 3,885 in Pritish Nandy Communications on September 18, 2024 and sell it today you would earn a total of 2,292 from holding Pritish Nandy Communications or generate 59.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 99.8% |
| Values | Daily Returns |
Pritish Nandy Communications vs. ICICI Bank Limited
Performance |
| Timeline |
| Pritish Nandy Commun |
| ICICI Bank Limited |
Pritish Nandy and ICICI Bank Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pritish Nandy and ICICI Bank
The main advantage of trading using opposite Pritish Nandy and ICICI Bank positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pritish Nandy position performs unexpectedly, ICICI Bank 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 ICICI Bank will offset losses from the drop in ICICI Bank's long position.| Pritish Nandy vs. Hybrid Financial Services | Pritish Nandy vs. General Insurance | Pritish Nandy vs. Hisar Metal Industries | Pritish Nandy vs. Hilton Metal Forging |
| ICICI Bank vs. Pritish Nandy Communications | ICICI Bank vs. NRB Industrial Bearings | ICICI Bank vs. Hi Tech Pipes Limited | ICICI Bank vs. Ankit Metal Power |
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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
| CEOs Directory Screen CEOs from public companies around the world | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |