Correlation Between Plus Tech and Com7 PCL
Can any of the company-specific risk be diversified away by investing in both Plus Tech and Com7 PCL 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 Plus Tech and Com7 PCL into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Plus Tech Innovation and Com7 PCL, you can compare the effects of market volatilities on Plus Tech and Com7 PCL 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 Plus Tech with a short position of Com7 PCL. Check out your portfolio center. Please also check ongoing floating volatility patterns of Plus Tech and Com7 PCL.
Diversification Opportunities for Plus Tech and Com7 PCL
Pay attention - limited upside
The 3 months correlation between Plus and Com7 is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Plus Tech Innovation and Com7 PCL in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Com7 PCL and Plus Tech 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 Plus Tech Innovation are associated (or correlated) with Com7 PCL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Com7 PCL has no effect on the direction of Plus Tech i.e., Plus Tech and Com7 PCL go up and down completely randomly.
Pair Corralation between Plus Tech and Com7 PCL
Assuming the 90 days trading horizon Plus Tech Innovation is expected to under-perform the Com7 PCL. In addition to that, Plus Tech is 2.88 times more volatile than Com7 PCL. It trades about -0.2 of its total potential returns per unit of risk. Com7 PCL is currently generating about 0.1 per unit of volatility. If you would invest 2,600 in Com7 PCL on August 28, 2024 and sell it today you would earn a total of 150.00 from holding Com7 PCL or generate 5.77% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Plus Tech Innovation vs. Com7 PCL
Performance |
| Timeline |
| Plus Tech Innovation |
| Com7 PCL |
Plus Tech and Com7 PCL Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Plus Tech and Com7 PCL
The main advantage of trading using opposite Plus Tech and Com7 PCL positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Plus Tech position performs unexpectedly, Com7 PCL 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 Com7 PCL will offset losses from the drop in Com7 PCL's long position.| Plus Tech vs. Com7 PCL | Plus Tech vs. TKS Technologies Public | Plus Tech vs. Rajthanee Hospital Public | Plus Tech vs. The Erawan Group |
| Com7 PCL vs. SCB X Public | Com7 PCL vs. Kasikornbank Public | Com7 PCL vs. PTT Public | Com7 PCL vs. Kasikornbank 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 Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |