Correlation Between State Bank and Bigbloc Construction
Specify exactly 2 symbols:
By analyzing existing cross correlation between State Bank of and Bigbloc Construction Limited, you can compare the effects of market volatilities on State Bank and Bigbloc Construction 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 State Bank with a short position of Bigbloc Construction. Check out your portfolio center. Please also check ongoing floating volatility patterns of State Bank and Bigbloc Construction.
Diversification Opportunities for State Bank and Bigbloc Construction
-0.03 | Correlation Coefficient |
Good diversification
The 3 months correlation between State and Bigbloc is -0.03. Overlapping area represents the amount of risk that can be diversified away by holding State Bank of and Bigbloc Construction Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bigbloc Construction and State Bank 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 State Bank of are associated (or correlated) with Bigbloc Construction. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bigbloc Construction has no effect on the direction of State Bank i.e., State Bank and Bigbloc Construction go up and down completely randomly.
Pair Corralation between State Bank and Bigbloc Construction
Assuming the 90 days trading horizon State Bank of is expected to generate 0.45 times more return on investment than Bigbloc Construction. However, State Bank of is 2.2 times less risky than Bigbloc Construction. It trades about 0.08 of its potential returns per unit of risk. Bigbloc Construction Limited is currently generating about -0.02 per unit of risk. If you would invest 78,790 in State Bank of on August 30, 2024 and sell it today you would earn a total of 4,620 from holding State Bank of or generate 5.86% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
State Bank of vs. Bigbloc Construction Limited
Performance |
| Timeline |
| State Bank |
| Bigbloc Construction |
State Bank and Bigbloc Construction Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with State Bank and Bigbloc Construction
The main advantage of trading using opposite State Bank and Bigbloc Construction positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if State Bank position performs unexpectedly, Bigbloc Construction 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 Bigbloc Construction will offset losses from the drop in Bigbloc Construction's long position.| State Bank vs. Transport of | State Bank vs. Krebs Biochemicals and | State Bank vs. Shivalik Bimetal Controls | State Bank vs. Rajnandini Metal Limited |
| Bigbloc Construction vs. Kingfa Science Technology | Bigbloc Construction vs. Rico Auto Industries | Bigbloc Construction vs. GACM Technologies Limited | Bigbloc Construction vs. COSMO FIRST LIMITED |
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
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 | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model 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. | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |