Correlation Between Saraswanti Anugerah and Golden Eagle
Can any of the company-specific risk be diversified away by investing in both Saraswanti Anugerah and Golden Eagle 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 Saraswanti Anugerah and Golden Eagle into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Saraswanti Anugerah Makmur and Golden Eagle Energy, you can compare the effects of market volatilities on Saraswanti Anugerah and Golden Eagle 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 Saraswanti Anugerah with a short position of Golden Eagle. Check out your portfolio center. Please also check ongoing floating volatility patterns of Saraswanti Anugerah and Golden Eagle.
Diversification Opportunities for Saraswanti Anugerah and Golden Eagle
0.48 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Saraswanti and Golden is 0.48. Overlapping area represents the amount of risk that can be diversified away by holding Saraswanti Anugerah Makmur and Golden Eagle Energy in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Golden Eagle Energy and Saraswanti Anugerah 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 Saraswanti Anugerah Makmur are associated (or correlated) with Golden Eagle. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Golden Eagle Energy has no effect on the direction of Saraswanti Anugerah i.e., Saraswanti Anugerah and Golden Eagle go up and down completely randomly.
Pair Corralation between Saraswanti Anugerah and Golden Eagle
Assuming the 90 days trading horizon Saraswanti Anugerah Makmur is expected to under-perform the Golden Eagle. But the stock apears to be less risky and, when comparing its historical volatility, Saraswanti Anugerah Makmur is 1.62 times less risky than Golden Eagle. The stock trades about -0.19 of its potential returns per unit of risk. The Golden Eagle Energy is currently generating about 0.07 of returns per unit of risk over similar time horizon. If you would invest 74,000 in Golden Eagle Energy on August 30, 2024 and sell it today you would earn a total of 2,500 from holding Golden Eagle Energy or generate 3.38% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Saraswanti Anugerah Makmur vs. Golden Eagle Energy
Performance |
| Timeline |
| Saraswanti Anugerah |
| Golden Eagle Energy |
Saraswanti Anugerah and Golden Eagle Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Saraswanti Anugerah and Golden Eagle
The main advantage of trading using opposite Saraswanti Anugerah and Golden Eagle positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Saraswanti Anugerah position performs unexpectedly, Golden Eagle 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 Golden Eagle will offset losses from the drop in Golden Eagle's long position.| Saraswanti Anugerah vs. Panca Budi Idaman | Saraswanti Anugerah vs. Gunung Raja Paksi | Saraswanti Anugerah vs. Aneka Gas Industri | Saraswanti Anugerah vs. Mark Dynamics Indonesia |
| Golden Eagle vs. Resource Alam Indonesia | Golden Eagle vs. J Resources Asia | Golden Eagle vs. TBS Energi Utama | Golden Eagle vs. Rukun Raharja Tbk |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| CEOs Directory Screen CEOs from public companies around the world |