Correlation Between Ratchthani Leasing and Micro Leasing

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

By analyzing existing cross correlation between Ratchthani Leasing Public and Micro Leasing Public, you can compare the effects of market volatilities on Ratchthani Leasing and Micro Leasing 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 Ratchthani Leasing with a short position of Micro Leasing. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ratchthani Leasing and Micro Leasing.

Diversification Opportunities for Ratchthani Leasing and Micro Leasing

0.43

Correlation Coefficient

Ratchthani Leasing  Micro Leasing

Very weak diversification

The 3 months correlation between Ratchthani and Micro is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding Ratchthani Leasing Public and Micro Leasing Public in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Micro Leasing Public and Ratchthani Leasing 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 Ratchthani Leasing Public are associated (or correlated) with Micro Leasing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Micro Leasing Public has no effect on the direction of Ratchthani Leasing i.e., Ratchthani Leasing and Micro Leasing go up and down completely randomly.

Pair Corralation between Ratchthani Leasing and Micro Leasing

Assuming the 90 days trading horizon Ratchthani Leasing Public is expected to generate 0.71 times more return on investment than Micro Leasing. However, Ratchthani Leasing Public is 1.4 times less risky than Micro Leasing. It trades about 0.05 of its potential returns per unit of risk. Micro Leasing Public is currently generating about 0.02 per unit of risk. If you would invest  145.00  in Ratchthani Leasing Public on April 24, 2025 and sell it today you would earn a total of  7.00  from holding Ratchthani Leasing Public or generate 4.83% return on investment over 90 days.

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

Ratchthani Leasing Public  vs.  Micro Leasing Public

Ratchthani Leasing Public

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Ratchthani Leasing Public are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite somewhat conflicting fundamental drivers, Ratchthani Leasing may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Micro Leasing Public

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Micro Leasing Public are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong fundamental drivers, Micro Leasing is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Ratchthani Leasing and Micro Leasing

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

The idea behind Ratchthani Leasing Public and Micro Leasing Public 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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..