Correlation Between Dwi Guna and Borneo Olah
Can any of the company-specific risk be diversified away by investing in both Dwi Guna and Borneo Olah 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 Dwi Guna and Borneo Olah into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Dwi Guna Laksana and Borneo Olah Sarana, you can compare the effects of market volatilities on Dwi Guna and Borneo Olah 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 Dwi Guna with a short position of Borneo Olah. Check out your portfolio center. Please also check ongoing floating volatility patterns of Dwi Guna and Borneo Olah.
Diversification Opportunities for Dwi Guna and Borneo Olah
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Dwi and Borneo is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Dwi Guna Laksana and Borneo Olah Sarana in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Borneo Olah Sarana and Dwi Guna 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 Dwi Guna Laksana are associated (or correlated) with Borneo Olah. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Borneo Olah Sarana has no effect on the direction of Dwi Guna i.e., Dwi Guna and Borneo Olah go up and down completely randomly.
Pair Corralation between Dwi Guna and Borneo Olah
If you would invest 10,400 in Dwi Guna Laksana on September 14, 2024 and sell it today you would earn a total of 17,200 from holding Dwi Guna Laksana or generate 165.38% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Dwi Guna Laksana vs. Borneo Olah Sarana
Performance |
Timeline |
Dwi Guna Laksana |
Borneo Olah Sarana |
Dwi Guna and Borneo Olah Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Dwi Guna and Borneo Olah
The main advantage of trading using opposite Dwi Guna and Borneo Olah positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Dwi Guna position performs unexpectedly, Borneo Olah 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 Borneo Olah will offset losses from the drop in Borneo Olah's long position.Dwi Guna vs. Harum Energy Tbk | Dwi Guna vs. Delta Dunia Makmur | Dwi Guna vs. Adi Sarana Armada | Dwi Guna vs. Elang Mahkota Teknologi |
Borneo Olah vs. Alfa Energi Investama | Borneo Olah vs. Atlas Resources Tbk | Borneo Olah vs. Baramulti Suksessarana Tbk | Borneo Olah vs. Kapuas Prima Coal |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Other Complementary Tools
Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules |