Correlation Between Synnex Public and Thaicom Public
Can any of the company-specific risk be diversified away by investing in both Synnex Public and Thaicom Public 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 Synnex Public and Thaicom Public into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Synnex Public and Thaicom Public, you can compare the effects of market volatilities on Synnex Public and Thaicom Public 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 Synnex Public with a short position of Thaicom Public. Check out your portfolio center. Please also check ongoing floating volatility patterns of Synnex Public and Thaicom Public.
Diversification Opportunities for Synnex Public and Thaicom Public
0.13 | Correlation Coefficient |
Average diversification
The 3 months correlation between Synnex and Thaicom is 0.13. Overlapping area represents the amount of risk that can be diversified away by holding Synnex Public and Thaicom Public in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Thaicom Public and Synnex Public 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 Synnex Public are associated (or correlated) with Thaicom Public. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Thaicom Public has no effect on the direction of Synnex Public i.e., Synnex Public and Thaicom Public go up and down completely randomly.
Pair Corralation between Synnex Public and Thaicom Public
Assuming the 90 days trading horizon Synnex Public is expected to generate 71.37 times less return on investment than Thaicom Public. But when comparing it to its historical volatility, Synnex Public is 19.18 times less risky than Thaicom Public. It trades about 0.01 of its potential returns per unit of risk. Thaicom Public is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 1,271 in Thaicom Public on September 12, 2024 and sell it today you would earn a total of 169.00 from holding Thaicom Public or generate 13.3% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Synnex Public vs. Thaicom Public
Performance |
| Timeline |
| Synnex Public |
| Thaicom Public |
Synnex Public and Thaicom Public Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Synnex Public and Thaicom Public
The main advantage of trading using opposite Synnex Public and Thaicom Public positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Synnex Public position performs unexpectedly, Thaicom Public 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 Thaicom Public will offset losses from the drop in Thaicom Public's long position.| Synnex Public vs. KCE Electronics Public | Synnex Public vs. Land and Houses | Synnex Public vs. Delta Electronics Public | Synnex Public vs. The Siam Cement |
| Thaicom Public vs. Synnex Public | Thaicom Public vs. SVI Public | Thaicom Public vs. Interlink Communication Public | Thaicom Public vs. The Erawan 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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Stocks Directory Find actively traded stocks across global markets | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities |