Correlation Between Porn Prom and Bangkok Bank
Can any of the company-specific risk be diversified away by investing in both Porn Prom and Bangkok Bank 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 Porn Prom and Bangkok Bank into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Porn Prom Metal and Bangkok Bank Public, you can compare the effects of market volatilities on Porn Prom and Bangkok 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 Porn Prom with a short position of Bangkok Bank. Check out your portfolio center. Please also check ongoing floating volatility patterns of Porn Prom and Bangkok Bank.
Diversification Opportunities for Porn Prom and Bangkok Bank
0.3 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Porn and Bangkok is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Porn Prom Metal and Bangkok Bank Public in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bangkok Bank Public and Porn Prom 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 Porn Prom Metal are associated (or correlated) with Bangkok Bank. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bangkok Bank Public has no effect on the direction of Porn Prom i.e., Porn Prom and Bangkok Bank go up and down completely randomly.
Pair Corralation between Porn Prom and Bangkok Bank
Assuming the 90 days trading horizon Porn Prom Metal is expected to under-perform the Bangkok Bank. In addition to that, Porn Prom is 5.99 times more volatile than Bangkok Bank Public. It trades about -0.26 of its total potential returns per unit of risk. Bangkok Bank Public is currently generating about -0.06 per unit of volatility. If you would invest 15,050 in Bangkok Bank Public on August 28, 2024 and sell it today you would lose (200.00) from holding Bangkok Bank Public or give up 1.33% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Porn Prom Metal vs. Bangkok Bank Public
Performance |
| Timeline |
| Porn Prom Metal |
| Bangkok Bank Public |
Porn Prom and Bangkok Bank Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Porn Prom and Bangkok Bank
The main advantage of trading using opposite Porn Prom and Bangkok Bank positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Porn Prom position performs unexpectedly, Bangkok 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 Bangkok Bank will offset losses from the drop in Bangkok Bank's long position.| Porn Prom vs. WHA Public | Porn Prom vs. Siri Prime Office | Porn Prom vs. Ananda Development Public | Porn Prom vs. Bangkok Land Public |
| Bangkok Bank vs. Thai Energy Storage | Bangkok Bank vs. Royal Orchid Hotel | Bangkok Bank vs. Grand Canal Land | Bangkok Bank vs. PRG Public |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| 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 | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum |