Correlation Between PT Mulia and PT Sreeya
Can any of the company-specific risk be diversified away by investing in both PT Mulia and PT Sreeya 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 Mulia and PT Sreeya into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PT Mulia Industrindo and PT Sreeya Sewu, you can compare the effects of market volatilities on PT Mulia and PT Sreeya 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 Mulia with a short position of PT Sreeya. Check out your portfolio center. Please also check ongoing floating volatility patterns of PT Mulia and PT Sreeya.
Diversification Opportunities for PT Mulia and PT Sreeya
Pay attention - limited upside
The 3 months correlation between MLIA and SIPD is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding PT Mulia Industrindo and PT Sreeya Sewu in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PT Sreeya Sewu and PT Mulia 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 Mulia Industrindo are associated (or correlated) with PT Sreeya. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PT Sreeya Sewu has no effect on the direction of PT Mulia i.e., PT Mulia and PT Sreeya go up and down completely randomly.
Pair Corralation between PT Mulia and PT Sreeya
If you would invest 0.00 in PT Mulia Industrindo on September 9, 2024 and sell it today you would earn a total of 0.00 from holding PT Mulia Industrindo or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 1.56% |
Values | Daily Returns |
PT Mulia Industrindo vs. PT Sreeya Sewu
Performance |
Timeline |
PT Mulia Industrindo |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
PT Sreeya Sewu |
PT Mulia and PT Sreeya Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with PT Mulia and PT Sreeya
The main advantage of trading using opposite PT Mulia and PT Sreeya positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PT Mulia position performs unexpectedly, PT Sreeya 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 PT Sreeya will offset losses from the drop in PT Sreeya's long position.The idea behind PT Mulia Industrindo and PT Sreeya Sewu pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.PT Sreeya vs. Kawasan Industri Jababeka | PT Sreeya vs. Slj Global Tbk | PT Sreeya vs. Solusi Bangun 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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
Stocks Directory Find actively traded stocks across global markets | |
Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
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 | |
Volatility Analysis Get historical volatility and risk analysis based on latest market data |