Adamjee Insurance (Pakistan) Market Value
| AICL Stock | 41.18 0.59 1.41% |
| Symbol | Adamjee |
Adamjee Insurance 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Adamjee Insurance's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Adamjee Insurance.
| 10/24/2024 |
| 11/23/2024 |
If you would invest 0.00 in Adamjee Insurance on October 24, 2024 and sell it all today you would earn a total of 0.00 from holding Adamjee Insurance or generate 0.0% return on investment in Adamjee Insurance over 30 days. Adamjee Insurance is related to or competes with Security Investment, Reliance Insurance, Escorts Investment, and Nimir Industrial. More
Adamjee Insurance Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Adamjee Insurance's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Adamjee Insurance upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.48 | |||
| Information Ratio | 0.1009 | |||
| Maximum Drawdown | 13.01 | |||
| Value At Risk | (2.51) | |||
| Potential Upside | 4.12 |
Adamjee Insurance Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Adamjee Insurance's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Adamjee Insurance's standard deviation. In reality, there are many statistical measures that can use Adamjee Insurance historical prices to predict the future Adamjee Insurance's volatility.| Risk Adjusted Performance | 0.1195 | |||
| Jensen Alpha | 0.3988 | |||
| Total Risk Alpha | 0.0306 | |||
| Sortino Ratio | 0.1586 | |||
| Treynor Ratio | (0.52) |
Adamjee Insurance Backtested Returns
Adamjee Insurance appears to be very steady, given 3 months investment horizon. Adamjee Insurance secures Sharpe Ratio (or Efficiency) of 0.15, which signifies that the company had a 0.15% return per unit of standard deviation over the last 3 months. We have found twenty-nine technical indicators for Adamjee Insurance, which you can use to evaluate the volatility of the firm. Please makes use of Adamjee Insurance's mean deviation of 1.67, and Risk Adjusted Performance of 0.1195 to double-check if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Adamjee Insurance holds a performance score of 12. The firm shows a Beta (market volatility) of -0.64, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning Adamjee Insurance are expected to decrease at a much lower rate. During the bear market, Adamjee Insurance is likely to outperform the market. Please check Adamjee Insurance's semi deviation, coefficient of variation, and the relationship between the mean deviation and downside deviation , to make a quick decision on whether Adamjee Insurance's price patterns will revert.
Auto-correlation | -0.33 |
Poor reverse predictability
Adamjee Insurance has poor reverse predictability. Overlapping area represents the amount of predictability between Adamjee Insurance time series from 24th of October 2024 to 8th of November 2024 and 8th of November 2024 to 23rd of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Adamjee Insurance price movement. The serial correlation of -0.33 indicates that nearly 33.0% of current Adamjee Insurance price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.33 | |
| Spearman Rank Test | -0.05 | |
| Residual Average | 0.0 | |
| Price Variance | 1.28 |
Adamjee Insurance lagged returns against current returns
Autocorrelation, which is Adamjee Insurance stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Adamjee Insurance's stock expected returns. We can calculate the autocorrelation of Adamjee Insurance returns to help us make a trade decision. For example, suppose you find that Adamjee Insurance has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Adamjee Insurance regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Adamjee Insurance stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Adamjee Insurance stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Adamjee Insurance stock over time.
Current vs Lagged Prices |
| Timeline |
Adamjee Insurance Lagged Returns
When evaluating Adamjee Insurance's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Adamjee Insurance stock have on its future price. Adamjee Insurance autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Adamjee Insurance autocorrelation shows the relationship between Adamjee Insurance stock current value and its past values and can show if there is a momentum factor associated with investing in Adamjee Insurance.
Regressed Prices |
| Timeline |
Pair Trading with Adamjee Insurance
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Adamjee Insurance position performs unexpectedly, the other equity 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 Adamjee Insurance will appreciate offsetting losses from the drop in the long position's value.Moving together with Adamjee Stock
Moving against Adamjee Stock
The ability to find closely correlated positions to Adamjee Insurance could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Adamjee Insurance when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Adamjee Insurance - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Adamjee Insurance to buy it.
The correlation of Adamjee Insurance is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Adamjee Insurance moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Adamjee Insurance moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Adamjee Insurance can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Other Information on Investing in Adamjee Stock
Adamjee Insurance financial ratios help investors to determine whether Adamjee Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Adamjee with respect to the benefits of owning Adamjee Insurance security.