Correlation Between Stock Exchange and Thaire Life
Can any of the company-specific risk be diversified away by investing in both Stock Exchange and Thaire Life 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 Stock Exchange and Thaire Life into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Stock Exchange Of and Thaire Life Assurance, you can compare the effects of market volatilities on Stock Exchange and Thaire Life 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 Stock Exchange with a short position of Thaire Life. Check out your portfolio center. Please also check ongoing floating volatility patterns of Stock Exchange and Thaire Life.
Diversification Opportunities for Stock Exchange and Thaire Life
0.93 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Stock and Thaire is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding Stock Exchange Of and Thaire Life Assurance in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Thaire Life Assurance and Stock Exchange 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 Stock Exchange Of are associated (or correlated) with Thaire Life. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Thaire Life Assurance has no effect on the direction of Stock Exchange i.e., Stock Exchange and Thaire Life go up and down completely randomly.
Pair Corralation between Stock Exchange and Thaire Life
Assuming the 90 days trading horizon Stock Exchange Of is expected to under-perform the Thaire Life. But the index apears to be less risky and, when comparing its historical volatility, Stock Exchange Of is 59.21 times less risky than Thaire Life. The index trades about -0.07 of its potential returns per unit of risk. The Thaire Life Assurance is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 424.00 in Thaire Life Assurance on November 29, 2024 and sell it today you would lose (307.00) from holding Thaire Life Assurance or give up 72.41% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Stock Exchange Of vs. Thaire Life Assurance
Performance |
| Timeline |
Stock Exchange and Thaire Life Volatility Contrast
Predicted Return Density |
| Returns |
Stock Exchange Of
Pair trading matchups for Stock Exchange
Thaire Life Assurance
Pair trading matchups for Thaire Life
Pair Trading with Stock Exchange and Thaire Life
The main advantage of trading using opposite Stock Exchange and Thaire Life positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Stock Exchange position performs unexpectedly, Thaire Life 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 Thaire Life will offset losses from the drop in Thaire Life's long position.| Stock Exchange vs. BPS TECHNOLOGY PUBLIC | Stock Exchange vs. Halcyon Technology Public | Stock Exchange vs. Dexon Technology PCL | Stock Exchange vs. Somboon Advance Technology |
| Thaire Life vs. Thai Reinsurance Public | Thaire Life vs. Ratchthani Leasing Public | Thaire Life vs. Bangkok Life Assurance | Thaire Life vs. Thanachart Capital 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 Bonds Directory module to find actively traded corporate debentures issued by US companies.
Other Complementary Tools
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| 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 | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |