Correlation Between PT Jobubu and Humpuss Intermoda
Can any of the company-specific risk be diversified away by investing in both PT Jobubu and Humpuss Intermoda 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 PT Jobubu and Humpuss Intermoda into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PT Jobubu Jarum and Humpuss Intermoda Transportasi, you can compare the effects of market volatilities on PT Jobubu and Humpuss Intermoda 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 PT Jobubu with a short position of Humpuss Intermoda. Check out your portfolio center. Please also check ongoing floating volatility patterns of PT Jobubu and Humpuss Intermoda.
Diversification Opportunities for PT Jobubu and Humpuss Intermoda
0.69 | Correlation Coefficient |
Poor diversification
The 3 months correlation between BEER and Humpuss is 0.69. Overlapping area represents the amount of risk that can be diversified away by holding PT Jobubu Jarum and Humpuss Intermoda Transportasi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Humpuss Intermoda and PT Jobubu 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 PT Jobubu Jarum are associated (or correlated) with Humpuss Intermoda. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Humpuss Intermoda has no effect on the direction of PT Jobubu i.e., PT Jobubu and Humpuss Intermoda go up and down completely randomly.
Pair Corralation between PT Jobubu and Humpuss Intermoda
Assuming the 90 days trading horizon PT Jobubu Jarum is expected to generate 0.45 times more return on investment than Humpuss Intermoda. However, PT Jobubu Jarum is 2.23 times less risky than Humpuss Intermoda. It trades about -0.25 of its potential returns per unit of risk. Humpuss Intermoda Transportasi is currently generating about -0.23 per unit of risk. If you would invest 15,000 in PT Jobubu Jarum on December 30, 2024 and sell it today you would lose (6,200) from holding PT Jobubu Jarum or give up 41.33% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
PT Jobubu Jarum vs. Humpuss Intermoda Transportasi
Performance |
Timeline |
PT Jobubu Jarum |
Humpuss Intermoda |
PT Jobubu and Humpuss Intermoda Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with PT Jobubu and Humpuss Intermoda
The main advantage of trading using opposite PT Jobubu and Humpuss Intermoda positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PT Jobubu position performs unexpectedly, Humpuss Intermoda 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 Humpuss Intermoda will offset losses from the drop in Humpuss Intermoda's long position.PT Jobubu vs. Optima Prima Metal | PT Jobubu vs. Lippo General Insurance | PT Jobubu vs. PT UBC Medical | PT Jobubu vs. PT Charlie Hospital |
Humpuss Intermoda vs. PT MNC Energy | Humpuss Intermoda vs. Tanah Laut Tbk | Humpuss Intermoda vs. Indorama Synthetics Tbk | Humpuss Intermoda vs. Fortune Mate Indonesia |
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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
CEOs Directory Screen CEOs from public companies around the world | |
Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like |