Correlation Between Strer SE and Siamgas
Can any of the company-specific risk be diversified away by investing in both Strer SE and Siamgas 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 Strer SE and Siamgas into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Strer SE Co and Siamgas And Petrochemicals, you can compare the effects of market volatilities on Strer SE and Siamgas 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 Strer SE with a short position of Siamgas. Check out your portfolio center. Please also check ongoing floating volatility patterns of Strer SE and Siamgas.
Diversification Opportunities for Strer SE and Siamgas
Significant diversification
The 3 months correlation between Strer and Siamgas is 0.07. Overlapping area represents the amount of risk that can be diversified away by holding Strer SE Co and Siamgas And Petrochemicals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Siamgas And Petroche and Strer SE 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 Strer SE Co are associated (or correlated) with Siamgas. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Siamgas And Petroche has no effect on the direction of Strer SE i.e., Strer SE and Siamgas go up and down completely randomly.
Pair Corralation between Strer SE and Siamgas
Assuming the 90 days trading horizon Strer SE is expected to generate 1.6 times less return on investment than Siamgas. In addition to that, Strer SE is 1.25 times more volatile than Siamgas And Petrochemicals. It trades about 0.05 of its total potential returns per unit of risk. Siamgas And Petrochemicals is currently generating about 0.09 per unit of volatility. If you would invest 17.00 in Siamgas And Petrochemicals on October 31, 2024 and sell it today you would earn a total of 2.00 from holding Siamgas And Petrochemicals or generate 11.76% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Strer SE Co vs. Siamgas And Petrochemicals
Performance |
Timeline |
Strer SE |
Siamgas And Petroche |
Strer SE and Siamgas Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Strer SE and Siamgas
The main advantage of trading using opposite Strer SE and Siamgas positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Strer SE position performs unexpectedly, Siamgas 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 Siamgas will offset losses from the drop in Siamgas' long position.Strer SE vs. BURLINGTON STORES | ||
Strer SE vs. JIAHUA STORES | ||
Strer SE vs. Corporate Office Properties | ||
Strer SE vs. H2O Retailing |
Siamgas vs. LANDSEA GREEN MANAGEMENT | ||
Siamgas vs. The Home Depot | ||
Siamgas vs. CENTURIA OFFICE REIT | ||
Siamgas vs. American Homes 4 |
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 Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
Other Complementary Tools
Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |
You may be interested in
Recommendations on macroaxis.com are based on what is currently trending. Macroaxis LLC is not a registered investment advisor or broker/dealer.
The information on the site should be used for informational purposes only and is not investment advice.
more