Correlation Between VinFast Auto and Solstad Offshore
Can any of the company-specific risk be diversified away by investing in both VinFast Auto and Solstad Offshore 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 VinFast Auto and Solstad Offshore into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between VinFast Auto Ltd and Solstad Offshore ASA, you can compare the effects of market volatilities on VinFast Auto and Solstad Offshore 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 VinFast Auto with a short position of Solstad Offshore. Check out your portfolio center. Please also check ongoing floating volatility patterns of VinFast Auto and Solstad Offshore.
Diversification Opportunities for VinFast Auto and Solstad Offshore
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between VinFast and Solstad is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding VinFast Auto Ltd and Solstad Offshore ASA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Solstad Offshore ASA and VinFast Auto 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 VinFast Auto Ltd are associated (or correlated) with Solstad Offshore. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Solstad Offshore ASA has no effect on the direction of VinFast Auto i.e., VinFast Auto and Solstad Offshore go up and down completely randomly.
Pair Corralation between VinFast Auto and Solstad Offshore
If you would invest 351.00 in VinFast Auto Ltd on September 3, 2024 and sell it today you would earn a total of 64.00 from holding VinFast Auto Ltd or generate 18.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 98.46% |
| Values | Daily Returns |
VinFast Auto Ltd vs. Solstad Offshore ASA
Performance |
| Timeline |
| VinFast Auto |
| Solstad Offshore ASA |
VinFast Auto and Solstad Offshore Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with VinFast Auto and Solstad Offshore
The main advantage of trading using opposite VinFast Auto and Solstad Offshore positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if VinFast Auto position performs unexpectedly, Solstad Offshore 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 Solstad Offshore will offset losses from the drop in Solstad Offshore's long position.| VinFast Auto vs. GreenPower Motor | VinFast Auto vs. ZEEKR Intelligent Technology | VinFast Auto vs. Volcon Inc | VinFast Auto vs. Ford Motor |
| Solstad Offshore vs. Hapag Lloyd Aktiengesellschaft | Solstad Offshore vs. AP Moeller Maersk AS | Solstad Offshore vs. AP Mller | Solstad Offshore vs. COSCO SHIPPING Holdings |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Other Complementary Tools
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |