Correlation Between Autohellas and As Commercial

Can any of the company-specific risk be diversified away by investing in both Autohellas and As Commercial 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 Autohellas and As Commercial into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Autohellas SA and As Commercial Industrial, you can compare the effects of market volatilities on Autohellas and As Commercial 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 Autohellas with a short position of As Commercial. Check out your portfolio center. Please also check ongoing floating volatility patterns of Autohellas and As Commercial.

Diversification Opportunities for Autohellas and As Commercial

-0.36

Correlation Coefficient

Autohellas  As Commercial

Very good diversification

The 3 months correlation between Autohellas and ASCO is -0.36. Overlapping area represents the amount of risk that can be diversified away by holding Autohellas SA and As Commercial Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on As Commercial Industrial and Autohellas 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 Autohellas SA are associated (or correlated) with As Commercial. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of As Commercial Industrial has no effect on the direction of Autohellas i.e., Autohellas and As Commercial go up and down completely randomly.

Pair Corralation between Autohellas and As Commercial

Assuming the 90 days trading horizon Autohellas SA is expected to under-perform the As Commercial. In addition to that, Autohellas is 1.19 times more volatile than As Commercial Industrial. It trades about -0.01 of its total potential returns per unit of risk. As Commercial Industrial is currently generating about 0.14 per unit of volatility. If you would invest  328.00  in As Commercial Industrial on April 22, 2025 and sell it today you would earn a total of  40.00  from holding As Commercial Industrial or generate 12.2% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Autohellas SA  vs.  As Commercial Industrial

Autohellas SA

Risk-Adjusted Performance

Very Weak

Over the last 90 days Autohellas SA has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, Autohellas is not utilizing all of its potentials. The newest stock price disturbance, may contribute to short-term losses for the investors.

As Commercial Industrial

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in As Commercial Industrial are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain basic indicators, As Commercial may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Pair Trading with Autohellas and As Commercial

The main advantage of trading using opposite Autohellas and As Commercial positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Autohellas position performs unexpectedly, As Commercial 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 As Commercial will offset losses from the drop in As Commercial's long position.

The idea behind Autohellas SA and As Commercial Industrial 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.

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 Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.