Correlation Between PT Boston and Pt Pradiksi
Can any of the company-specific risk be diversified away by investing in both PT Boston and Pt Pradiksi 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 PT Boston and Pt Pradiksi into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PT Boston Furniture and Pt Pradiksi Gunatama, you can compare the effects of market volatilities on PT Boston and Pt Pradiksi 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 PT Boston with a short position of Pt Pradiksi. Check out your portfolio center. Please also check ongoing floating volatility patterns of PT Boston and Pt Pradiksi.
Diversification Opportunities for PT Boston and Pt Pradiksi
-0.1 | Correlation Coefficient |
Good diversification
The 3 months correlation between SOFA and PGUN is -0.1. Overlapping area represents the amount of risk that can be diversified away by holding PT Boston Furniture and Pt Pradiksi Gunatama in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Pt Pradiksi Gunatama and PT Boston 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 PT Boston Furniture are associated (or correlated) with Pt Pradiksi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Pt Pradiksi Gunatama has no effect on the direction of PT Boston i.e., PT Boston and Pt Pradiksi go up and down completely randomly.
Pair Corralation between PT Boston and Pt Pradiksi
If you would invest 1,900 in PT Boston Furniture on September 1, 2024 and sell it today you would earn a total of 1,700 from holding PT Boston Furniture or generate 89.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
PT Boston Furniture vs. Pt Pradiksi Gunatama
Performance |
| Timeline |
| PT Boston Furniture |
| Pt Pradiksi Gunatama |
PT Boston and Pt Pradiksi Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PT Boston and Pt Pradiksi
The main advantage of trading using opposite PT Boston and Pt Pradiksi positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PT Boston position performs unexpectedly, Pt Pradiksi 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 Pradiksi will offset losses from the drop in Pt Pradiksi's long position.| PT Boston vs. Pt Pakuan Tbk | PT Boston vs. Integra Indocabinet Tbk | PT Boston vs. Multistrada Arah Sarana | PT Boston vs. PT MNC Energy |
| Pt Pradiksi vs. Habco Trans Maritima | Pt Pradiksi vs. PT Cilacap Samudera | Pt Pradiksi vs. PT Sari Kreasi | Pt Pradiksi vs. Autopedia Sukses Lestari |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
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 | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |