Correlation Between PSB Holdings and JAPAN POST
Can any of the company-specific risk be diversified away by investing in both PSB Holdings and JAPAN POST 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 PSB Holdings and JAPAN POST into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PSB Holdings and JAPAN POST BANK, you can compare the effects of market volatilities on PSB Holdings and JAPAN POST 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 PSB Holdings with a short position of JAPAN POST. Check out your portfolio center. Please also check ongoing floating volatility patterns of PSB Holdings and JAPAN POST.
Diversification Opportunities for PSB Holdings and JAPAN POST
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between PSB and JAPAN is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding PSB Holdings and JAPAN POST BANK in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JAPAN POST BANK and PSB Holdings 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 PSB Holdings are associated (or correlated) with JAPAN POST. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JAPAN POST BANK has no effect on the direction of PSB Holdings i.e., PSB Holdings and JAPAN POST go up and down completely randomly.
Pair Corralation between PSB Holdings and JAPAN POST
If you would invest 2,600 in PSB Holdings on August 26, 2024 and sell it today you would earn a total of 190.00 from holding PSB Holdings or generate 7.31% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
PSB Holdings vs. JAPAN POST BANK
Performance |
| Timeline |
| PSB Holdings |
| JAPAN POST BANK |
PSB Holdings and JAPAN POST Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PSB Holdings and JAPAN POST
The main advantage of trading using opposite PSB Holdings and JAPAN POST positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PSB Holdings position performs unexpectedly, JAPAN POST 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 JAPAN POST will offset losses from the drop in JAPAN POST's long position.| PSB Holdings vs. Invesco High Income | PSB Holdings vs. Blackrock Muniholdings Ny | PSB Holdings vs. MFS Investment Grade | PSB Holdings vs. Federated Premier Municipal |
| JAPAN POST vs. PSB Holdings | JAPAN POST vs. United Overseas Bank | JAPAN POST vs. Turkiye Garanti Bankasi |
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
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |