Correlation Between ECS ICT and OSK Holdings
Can any of the company-specific risk be diversified away by investing in both ECS ICT and OSK Holdings 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 ECS ICT and OSK Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ECS ICT Bhd and OSK Holdings Bhd, you can compare the effects of market volatilities on ECS ICT and OSK Holdings 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 ECS ICT with a short position of OSK Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of ECS ICT and OSK Holdings.
Diversification Opportunities for ECS ICT and OSK Holdings
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between ECS and OSK is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding ECS ICT Bhd and OSK Holdings Bhd in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on OSK Holdings Bhd and ECS ICT 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 ECS ICT Bhd are associated (or correlated) with OSK Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of OSK Holdings Bhd has no effect on the direction of ECS ICT i.e., ECS ICT and OSK Holdings go up and down completely randomly.
Pair Corralation between ECS ICT and OSK Holdings
If you would invest (100.00) in OSK Holdings Bhd on December 27, 2024 and sell it today you would earn a total of 100.00 from holding OSK Holdings Bhd or generate -100.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 0.0% |
Values | Daily Returns |
ECS ICT Bhd vs. OSK Holdings Bhd
Performance |
Timeline |
ECS ICT Bhd |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
OSK Holdings Bhd |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
ECS ICT and OSK Holdings Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with ECS ICT and OSK Holdings
The main advantage of trading using opposite ECS ICT and OSK Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ECS ICT position performs unexpectedly, OSK Holdings 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 OSK Holdings will offset losses from the drop in OSK Holdings' long position.ECS ICT vs. Malaysia Steel Works | ECS ICT vs. Privasia Technology Bhd | ECS ICT vs. Magni Tech Industries | ECS ICT vs. MyTech Group Bhd |
OSK Holdings vs. PMB Technology Bhd | OSK Holdings vs. Awanbiru Technology Bhd | OSK Holdings vs. Diversified Gateway Solutions | OSK Holdings vs. Farm Price 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
Transaction History View history of all your transactions and understand their impact on performance |