Correlation Between Satria Antaran and Guna Timur
Can any of the company-specific risk be diversified away by investing in both Satria Antaran and Guna Timur 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 Satria Antaran and Guna Timur into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Satria Antaran Prima and Guna Timur Raya, you can compare the effects of market volatilities on Satria Antaran and Guna Timur 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 Satria Antaran with a short position of Guna Timur. Check out your portfolio center. Please also check ongoing floating volatility patterns of Satria Antaran and Guna Timur.
Diversification Opportunities for Satria Antaran and Guna Timur
-0.63 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Satria and Guna is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding Satria Antaran Prima and Guna Timur Raya in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Guna Timur Raya and Satria Antaran 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 Satria Antaran Prima are associated (or correlated) with Guna Timur. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Guna Timur Raya has no effect on the direction of Satria Antaran i.e., Satria Antaran and Guna Timur go up and down completely randomly.
Pair Corralation between Satria Antaran and Guna Timur
Assuming the 90 days trading horizon Satria Antaran Prima is expected to under-perform the Guna Timur. In addition to that, Satria Antaran is 5.27 times more volatile than Guna Timur Raya. It trades about -0.22 of its total potential returns per unit of risk. Guna Timur Raya is currently generating about 0.27 per unit of volatility. If you would invest 7,700 in Guna Timur Raya on December 2, 2024 and sell it today you would earn a total of 3,100 from holding Guna Timur Raya or generate 40.26% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Satria Antaran Prima vs. Guna Timur Raya
Performance |
Timeline |
Satria Antaran Prima |
Guna Timur Raya |
Satria Antaran and Guna Timur Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Satria Antaran and Guna Timur
The main advantage of trading using opposite Satria Antaran and Guna Timur positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Satria Antaran position performs unexpectedly, Guna Timur 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 Guna Timur will offset losses from the drop in Guna Timur's long position.Satria Antaran vs. PT Trimuda Nuansa | Satria Antaran vs. Guna Timur Raya | Satria Antaran vs. Pelayaran Nelly Dwi | Satria Antaran vs. Krida Jaringan Nusantara |
Guna Timur vs. Sriwahana | Guna Timur vs. PT Trimuda Nuansa | Guna Timur vs. Yelooo Integra Datanet | Guna Timur vs. Transcoal Pacific Tbk |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |