Correlation Between Bank Mandiri and Aminex PLC
Can any of the company-specific risk be diversified away by investing in both Bank Mandiri and Aminex PLC 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 Bank Mandiri and Aminex PLC into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bank Mandiri Persero and Aminex PLC, you can compare the effects of market volatilities on Bank Mandiri and Aminex PLC 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 Bank Mandiri with a short position of Aminex PLC. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank Mandiri and Aminex PLC.
Diversification Opportunities for Bank Mandiri and Aminex PLC
-0.62 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Bank and Aminex is -0.62. Overlapping area represents the amount of risk that can be diversified away by holding Bank Mandiri Persero and Aminex PLC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aminex PLC and Bank Mandiri 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 Bank Mandiri Persero are associated (or correlated) with Aminex PLC. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aminex PLC has no effect on the direction of Bank Mandiri i.e., Bank Mandiri and Aminex PLC go up and down completely randomly.
Pair Corralation between Bank Mandiri and Aminex PLC
If you would invest 3.00 in Aminex PLC on August 25, 2024 and sell it today you would earn a total of 0.00 from holding Aminex PLC or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bank Mandiri Persero vs. Aminex PLC
Performance |
| Timeline |
| Bank Mandiri Persero |
| Aminex PLC |
Bank Mandiri and Aminex PLC Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank Mandiri and Aminex PLC
The main advantage of trading using opposite Bank Mandiri and Aminex PLC positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank Mandiri position performs unexpectedly, Aminex PLC 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 Aminex PLC will offset losses from the drop in Aminex PLC's long position.| Bank Mandiri vs. Standard Bank Group | Bank Mandiri vs. PSB Holdings | Bank Mandiri vs. United Overseas Bank | Bank Mandiri vs. Turkiye Garanti Bankasi |
| Aminex PLC vs. Petrus Resources | Aminex PLC vs. Valeura Energy | Aminex PLC vs. Epsilon Energy | Aminex PLC vs. Questerre Energy |
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 Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |