Correlation Between Trigano SA and Trilogiq
Can any of the company-specific risk be diversified away by investing in both Trigano SA and Trilogiq 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 Trigano SA and Trilogiq into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Trigano SA and Trilogiq, you can compare the effects of market volatilities on Trigano SA and Trilogiq 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 Trigano SA with a short position of Trilogiq. Check out your portfolio center. Please also check ongoing floating volatility patterns of Trigano SA and Trilogiq.
Diversification Opportunities for Trigano SA and Trilogiq
-0.69 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Trigano and Trilogiq is -0.69. Overlapping area represents the amount of risk that can be diversified away by holding Trigano SA and Trilogiq in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Trilogiq and Trigano SA 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 Trigano SA are associated (or correlated) with Trilogiq. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Trilogiq has no effect on the direction of Trigano SA i.e., Trigano SA and Trilogiq go up and down completely randomly.
Pair Corralation between Trigano SA and Trilogiq
Assuming the 90 days trading horizon Trigano SA is expected to under-perform the Trilogiq. But the stock apears to be less risky and, when comparing its historical volatility, Trigano SA is 1.41 times less risky than Trilogiq. The stock trades about -0.2 of its potential returns per unit of risk. The Trilogiq is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 595.00 in Trilogiq on September 4, 2024 and sell it today you would earn a total of 5.00 from holding Trilogiq or generate 0.84% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Trigano SA vs. Trilogiq
Performance |
| Timeline |
| Trigano SA |
| Trilogiq |
Trigano SA and Trilogiq Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Trigano SA and Trilogiq
The main advantage of trading using opposite Trigano SA and Trilogiq positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Trigano SA position performs unexpectedly, Trilogiq 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 Trilogiq will offset losses from the drop in Trilogiq's long position.| Trigano SA vs. SA Catana Group | Trigano SA vs. Fountaine Pajo | Trigano SA vs. Piscines Desjoyaux SA | Trigano SA vs. Impulse Fitness Solutions |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
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