Correlation Between Yelooo Integra and Agro Yasa
Can any of the company-specific risk be diversified away by investing in both Yelooo Integra and Agro Yasa 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 Yelooo Integra and Agro Yasa into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Yelooo Integra Datanet and Agro Yasa Lestari, you can compare the effects of market volatilities on Yelooo Integra and Agro Yasa 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 Yelooo Integra with a short position of Agro Yasa. Check out your portfolio center. Please also check ongoing floating volatility patterns of Yelooo Integra and Agro Yasa.
Diversification Opportunities for Yelooo Integra and Agro Yasa
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Yelooo and Agro is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Yelooo Integra Datanet and Agro Yasa Lestari in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Agro Yasa Lestari and Yelooo Integra 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 Yelooo Integra Datanet are associated (or correlated) with Agro Yasa. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Agro Yasa Lestari has no effect on the direction of Yelooo Integra i.e., Yelooo Integra and Agro Yasa go up and down completely randomly.
Pair Corralation between Yelooo Integra and Agro Yasa
Assuming the 90 days trading horizon Yelooo Integra Datanet is expected to generate 1.26 times more return on investment than Agro Yasa. However, Yelooo Integra is 1.26 times more volatile than Agro Yasa Lestari. It trades about -0.12 of its potential returns per unit of risk. Agro Yasa Lestari is currently generating about -0.43 per unit of risk. If you would invest 1,700 in Yelooo Integra Datanet on September 1, 2024 and sell it today you would lose (200.00) from holding Yelooo Integra Datanet or give up 11.76% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Yelooo Integra Datanet vs. Agro Yasa Lestari
Performance |
| Timeline |
| Yelooo Integra Datanet |
| Agro Yasa Lestari |
Yelooo Integra and Agro Yasa Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Yelooo Integra and Agro Yasa
The main advantage of trading using opposite Yelooo Integra and Agro Yasa positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Yelooo Integra position performs unexpectedly, Agro Yasa 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 Agro Yasa will offset losses from the drop in Agro Yasa's long position.| Yelooo Integra vs. Surya Citra Media | Yelooo Integra vs. Anabatic Technologies Tbk | Yelooo Integra vs. Trinitan Metals and | Yelooo Integra vs. Arkadia Digital Media |
| Agro Yasa vs. Sinergi Inti Plastindo | Agro Yasa vs. Bank Amar Indonesia | Agro Yasa vs. Andalan Sakti Primaindo | Agro Yasa vs. Era Mandiri Cemerlang |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
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