Correlation Between Yulie Sekurindo and Reliance Securities
Can any of the company-specific risk be diversified away by investing in both Yulie Sekurindo and Reliance Securities 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 Yulie Sekurindo and Reliance Securities into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Yulie Sekurindo Tbk and Reliance Securities Tbk, you can compare the effects of market volatilities on Yulie Sekurindo and Reliance Securities 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 Yulie Sekurindo with a short position of Reliance Securities. Check out your portfolio center. Please also check ongoing floating volatility patterns of Yulie Sekurindo and Reliance Securities.
Diversification Opportunities for Yulie Sekurindo and Reliance Securities
-0.07 | Correlation Coefficient |
Good diversification
The 3 months correlation between Yulie and Reliance is -0.07. Overlapping area represents the amount of risk that can be diversified away by holding Yulie Sekurindo Tbk and Reliance Securities Tbk in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Reliance Securities Tbk and Yulie Sekurindo 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 Yulie Sekurindo Tbk are associated (or correlated) with Reliance Securities. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Reliance Securities Tbk has no effect on the direction of Yulie Sekurindo i.e., Yulie Sekurindo and Reliance Securities go up and down completely randomly.
Pair Corralation between Yulie Sekurindo and Reliance Securities
Assuming the 90 days trading horizon Yulie Sekurindo Tbk is expected to generate 0.35 times more return on investment than Reliance Securities. However, Yulie Sekurindo Tbk is 2.84 times less risky than Reliance Securities. It trades about 0.03 of its potential returns per unit of risk. Reliance Securities Tbk is currently generating about 0.01 per unit of risk. If you would invest 210,000 in Yulie Sekurindo Tbk on August 28, 2024 and sell it today you would earn a total of 35,000 from holding Yulie Sekurindo Tbk or generate 16.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Yulie Sekurindo Tbk vs. Reliance Securities Tbk
Performance |
| Timeline |
| Yulie Sekurindo Tbk |
| Reliance Securities Tbk |
Yulie Sekurindo and Reliance Securities Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Yulie Sekurindo and Reliance Securities
The main advantage of trading using opposite Yulie Sekurindo and Reliance Securities positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Yulie Sekurindo position performs unexpectedly, Reliance Securities 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 Reliance Securities will offset losses from the drop in Reliance Securities' long position.| Yulie Sekurindo vs. Trimegah Securities Tbk | Yulie Sekurindo vs. Trust Finance Indonesia | Yulie Sekurindo vs. Panca Global Securities | Yulie Sekurindo vs. Wahana Ottomitra Multiartha |
| Reliance Securities vs. Panca Global Securities | Reliance Securities vs. Panin Sekuritas Tbk | Reliance Securities vs. Trimegah Securities Tbk | Reliance Securities vs. Yulie Sekurindo Tbk |
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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Other Complementary Tools
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |