Correlation Between Sunindo Adipersada and Integra Indocabinet
Can any of the company-specific risk be diversified away by investing in both Sunindo Adipersada and Integra Indocabinet 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 Sunindo Adipersada and Integra Indocabinet into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Sunindo Adipersada Tbk and Integra Indocabinet Tbk, you can compare the effects of market volatilities on Sunindo Adipersada and Integra Indocabinet 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 Sunindo Adipersada with a short position of Integra Indocabinet. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sunindo Adipersada and Integra Indocabinet.
Diversification Opportunities for Sunindo Adipersada and Integra Indocabinet
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Sunindo and Integra is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Sunindo Adipersada Tbk and Integra Indocabinet Tbk in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Integra Indocabinet Tbk and Sunindo Adipersada 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 Sunindo Adipersada Tbk are associated (or correlated) with Integra Indocabinet. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Integra Indocabinet Tbk has no effect on the direction of Sunindo Adipersada i.e., Sunindo Adipersada and Integra Indocabinet go up and down completely randomly.
Pair Corralation between Sunindo Adipersada and Integra Indocabinet
If you would invest 31,600 in Integra Indocabinet Tbk on November 4, 2024 and sell it today you would earn a total of 8,600 from holding Integra Indocabinet Tbk or generate 27.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 89.47% |
| Values | Daily Returns |
Sunindo Adipersada Tbk vs. Integra Indocabinet Tbk
Performance |
| Timeline |
| Sunindo Adipersada Tbk |
| Integra Indocabinet Tbk |
Sunindo Adipersada and Integra Indocabinet Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Sunindo Adipersada and Integra Indocabinet
The main advantage of trading using opposite Sunindo Adipersada and Integra Indocabinet positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sunindo Adipersada position performs unexpectedly, Integra Indocabinet 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 Integra Indocabinet will offset losses from the drop in Integra Indocabinet's long position.| Sunindo Adipersada vs. Guna Timur Raya | Sunindo Adipersada vs. Yelooo Integra Datanet | Sunindo Adipersada vs. Agro Yasa Lestari | Sunindo Adipersada vs. Sinergi Inti Plastindo |
| Integra Indocabinet vs. Buyung Poetra Sembada | Integra Indocabinet vs. Erajaya Swasembada Tbk | Integra Indocabinet vs. Sariguna Primatirta PT | Integra Indocabinet vs. Puradelta Lestari PT |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
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