Correlation Between Satria Antaran and PT Trimuda
Can any of the company-specific risk be diversified away by investing in both Satria Antaran and PT Trimuda 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 Satria Antaran and PT Trimuda into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Satria Antaran Prima and PT Trimuda Nuansa, you can compare the effects of market volatilities on Satria Antaran and PT Trimuda 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 Satria Antaran with a short position of PT Trimuda. Check out your portfolio center. Please also check ongoing floating volatility patterns of Satria Antaran and PT Trimuda.
Diversification Opportunities for Satria Antaran and PT Trimuda
0.13 | Correlation Coefficient |
Average diversification
The 3 months correlation between Satria and TNCA is 0.13. Overlapping area represents the amount of risk that can be diversified away by holding Satria Antaran Prima and PT Trimuda Nuansa in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PT Trimuda Nuansa and Satria Antaran 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 Satria Antaran Prima are associated (or correlated) with PT Trimuda. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PT Trimuda Nuansa has no effect on the direction of Satria Antaran i.e., Satria Antaran and PT Trimuda go up and down completely randomly.
Pair Corralation between Satria Antaran and PT Trimuda
Assuming the 90 days trading horizon Satria Antaran Prima is expected to generate 0.86 times more return on investment than PT Trimuda. However, Satria Antaran Prima is 1.17 times less risky than PT Trimuda. It trades about 0.1 of its potential returns per unit of risk. PT Trimuda Nuansa is currently generating about 0.01 per unit of risk. If you would invest 76,500 in Satria Antaran Prima on August 27, 2024 and sell it today you would earn a total of 205,500 from holding Satria Antaran Prima or generate 268.63% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Satria Antaran Prima vs. PT Trimuda Nuansa
Performance |
| Timeline |
| Satria Antaran Prima |
| PT Trimuda Nuansa |
Satria Antaran and PT Trimuda Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Satria Antaran and PT Trimuda
The main advantage of trading using opposite Satria Antaran and PT Trimuda positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Satria Antaran position performs unexpectedly, PT Trimuda 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 PT Trimuda will offset losses from the drop in PT Trimuda's long position.| Satria Antaran vs. Guna Timur Raya | Satria Antaran vs. Transcoal Pacific Tbk | Satria Antaran vs. Pelayaran Nelly Dwi | Satria Antaran vs. Yelooo Integra Datanet |
| PT Trimuda vs. Guna Timur Raya | PT Trimuda vs. Satria Antaran Prima | PT Trimuda vs. Transcoal Pacific Tbk | PT Trimuda vs. Pelayaran Nelly Dwi |
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
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |