Correlation Between Bank Mandiri and Landcadia Holdings
Can any of the company-specific risk be diversified away by investing in both Bank Mandiri and Landcadia 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 Bank Mandiri and Landcadia Holdings 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 Landcadia Holdings II, you can compare the effects of market volatilities on Bank Mandiri and Landcadia 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 Bank Mandiri with a short position of Landcadia Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank Mandiri and Landcadia Holdings.
Diversification Opportunities for Bank Mandiri and Landcadia Holdings
-0.83 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Bank and Landcadia is -0.83. Overlapping area represents the amount of risk that can be diversified away by holding Bank Mandiri Persero and Landcadia Holdings II in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Landcadia Holdings 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 Landcadia Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Landcadia Holdings has no effect on the direction of Bank Mandiri i.e., Bank Mandiri and Landcadia Holdings go up and down completely randomly.
Pair Corralation between Bank Mandiri and Landcadia Holdings
If you would invest 36.00 in Bank Mandiri Persero on September 1, 2024 and sell it today you would earn a total of 7.00 from holding Bank Mandiri Persero or generate 19.44% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 0.43% |
| Values | Daily Returns |
Bank Mandiri Persero vs. Landcadia Holdings II
Performance |
| Timeline |
| Bank Mandiri Persero |
| Landcadia Holdings |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Bank Mandiri and Landcadia Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank Mandiri and Landcadia Holdings
The main advantage of trading using opposite Bank Mandiri and Landcadia Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank Mandiri position performs unexpectedly, Landcadia 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 Landcadia Holdings will offset losses from the drop in Landcadia Holdings' long position.| Bank Mandiri vs. Piraeus Bank SA | Bank Mandiri vs. Turkiye Garanti Bankasi | Bank Mandiri vs. Delhi Bank Corp | Bank Mandiri vs. Uwharrie Capital Corp |
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 Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |