Correlation Between Stock Exchange and MTrack Energy
Can any of the company-specific risk be diversified away by investing in both Stock Exchange and MTrack Energy 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 Stock Exchange and MTrack Energy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Stock Exchange Of and MTrack Energy ETF, you can compare the effects of market volatilities on Stock Exchange and MTrack Energy 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 Stock Exchange with a short position of MTrack Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Stock Exchange and MTrack Energy.
Diversification Opportunities for Stock Exchange and MTrack Energy
0.14 | Correlation Coefficient |
Average diversification
The 3 months correlation between Stock and MTrack is 0.14. Overlapping area represents the amount of risk that can be diversified away by holding Stock Exchange Of and MTrack Energy ETF in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MTrack Energy ETF and Stock Exchange 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 Stock Exchange Of are associated (or correlated) with MTrack Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MTrack Energy ETF has no effect on the direction of Stock Exchange i.e., Stock Exchange and MTrack Energy go up and down completely randomly.
Pair Corralation between Stock Exchange and MTrack Energy
Assuming the 90 days trading horizon Stock Exchange Of is expected to generate 0.94 times more return on investment than MTrack Energy. However, Stock Exchange Of is 1.06 times less risky than MTrack Energy. It trades about -0.08 of its potential returns per unit of risk. MTrack Energy ETF is currently generating about -0.1 per unit of risk. If you would invest 137,948 in Stock Exchange Of on January 30, 2024 and sell it today you would lose (1,954) from holding Stock Exchange Of or give up 1.42% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Insignificant |
Accuracy | 94.44% |
Values | Daily Returns |
Stock Exchange Of vs. MTrack Energy ETF
Performance |
Timeline |
Stock Exchange and MTrack Energy Volatility Contrast
Predicted Return Density |
Returns |
Stock Exchange Of
Pair trading matchups for Stock Exchange
MTrack Energy ETF
Pair trading matchups for MTrack Energy
Pair Trading with Stock Exchange and MTrack Energy
The main advantage of trading using opposite Stock Exchange and MTrack Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Stock Exchange position performs unexpectedly, MTrack Energy 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 MTrack Energy will offset losses from the drop in MTrack Energy's long position.Stock Exchange vs. Internet Thailand Public | Stock Exchange vs. Tipco Foods Public | Stock Exchange vs. MFC Industrial Investment | Stock Exchange vs. Siamgas and Petrochemicals |
MTrack Energy vs. ThaiDex SET50 Exchange | MTrack Energy vs. BCAP MSCI Thailand | MTrack Energy vs. BCAP SET100 | MTrack Energy vs. KTAM Gold ETF |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
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 | |
Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |