Correlation Between Singapore Airlines and MOLSON COORS
Can any of the company-specific risk be diversified away by investing in both Singapore Airlines and MOLSON COORS 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 Singapore Airlines and MOLSON COORS into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Singapore Airlines Limited and MOLSON RS BEVERAGE, you can compare the effects of market volatilities on Singapore Airlines and MOLSON COORS 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 Singapore Airlines with a short position of MOLSON COORS. Check out your portfolio center. Please also check ongoing floating volatility patterns of Singapore Airlines and MOLSON COORS.
Diversification Opportunities for Singapore Airlines and MOLSON COORS
0.04 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Singapore and MOLSON is 0.04. Overlapping area represents the amount of risk that can be diversified away by holding Singapore Airlines Limited and MOLSON RS BEVERAGE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MOLSON RS BEVERAGE and Singapore Airlines 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 Singapore Airlines Limited are associated (or correlated) with MOLSON COORS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MOLSON RS BEVERAGE has no effect on the direction of Singapore Airlines i.e., Singapore Airlines and MOLSON COORS go up and down completely randomly.
Pair Corralation between Singapore Airlines and MOLSON COORS
Assuming the 90 days trading horizon Singapore Airlines Limited is expected to under-perform the MOLSON COORS. In addition to that, Singapore Airlines is 1.36 times more volatile than MOLSON RS BEVERAGE. It trades about 0.0 of its total potential returns per unit of risk. MOLSON RS BEVERAGE is currently generating about 0.46 per unit of volatility. If you would invest 5,050 in MOLSON RS BEVERAGE on August 27, 2024 and sell it today you would earn a total of 550.00 from holding MOLSON RS BEVERAGE or generate 10.89% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Singapore Airlines Limited vs. MOLSON RS BEVERAGE
Performance |
| Timeline |
| Singapore Airlines |
| MOLSON RS BEVERAGE |
Singapore Airlines and MOLSON COORS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Singapore Airlines and MOLSON COORS
The main advantage of trading using opposite Singapore Airlines and MOLSON COORS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Singapore Airlines position performs unexpectedly, MOLSON COORS 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 MOLSON COORS will offset losses from the drop in MOLSON COORS's long position.| Singapore Airlines vs. ANTA SPORTS PRODUCT | Singapore Airlines vs. Daido Steel Co | Singapore Airlines vs. BLUESCOPE STEEL | Singapore Airlines vs. Perma Fix Environmental Services |
| MOLSON COORS vs. LEGACY IRON ORE | MOLSON COORS vs. CosmoSteel Holdings Limited | MOLSON COORS vs. United States Steel | MOLSON COORS vs. ALGOMA STEEL GROUP |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
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 Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |