Correlation Between Indofarma Tbk and Mitra Keluarga
Can any of the company-specific risk be diversified away by investing in both Indofarma Tbk and Mitra Keluarga 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 Indofarma Tbk and Mitra Keluarga into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Indofarma Tbk and Mitra Keluarga Karyasehat, you can compare the effects of market volatilities on Indofarma Tbk and Mitra Keluarga 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 Indofarma Tbk with a short position of Mitra Keluarga. Check out your portfolio center. Please also check ongoing floating volatility patterns of Indofarma Tbk and Mitra Keluarga.
Diversification Opportunities for Indofarma Tbk and Mitra Keluarga
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Indofarma and Mitra is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Indofarma Tbk and Mitra Keluarga Karyasehat in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mitra Keluarga Karyasehat and Indofarma Tbk 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 Indofarma Tbk are associated (or correlated) with Mitra Keluarga. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mitra Keluarga Karyasehat has no effect on the direction of Indofarma Tbk i.e., Indofarma Tbk and Mitra Keluarga go up and down completely randomly.
Pair Corralation between Indofarma Tbk and Mitra Keluarga
If you would invest 12,600 in Indofarma Tbk on September 15, 2024 and sell it today you would earn a total of 0.00 from holding Indofarma Tbk or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Indofarma Tbk vs. Mitra Keluarga Karyasehat
Performance |
Timeline |
Indofarma Tbk |
Mitra Keluarga Karyasehat |
Indofarma Tbk and Mitra Keluarga Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Indofarma Tbk and Mitra Keluarga
The main advantage of trading using opposite Indofarma Tbk and Mitra Keluarga positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Indofarma Tbk position performs unexpectedly, Mitra Keluarga 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 Mitra Keluarga will offset losses from the drop in Mitra Keluarga's long position.Indofarma Tbk vs. Mitra Keluarga Karyasehat | Indofarma Tbk vs. Siloam International Hospitals | Indofarma Tbk vs. Sumber Alfaria Trijaya | Indofarma Tbk vs. Elang Mahkota Teknologi |
Mitra Keluarga vs. Merdeka Copper Gold | Mitra Keluarga vs. Tower Bersama Infrastructure | Mitra Keluarga vs. Erajaya Swasembada Tbk | Mitra Keluarga vs. Surya Citra Media |
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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Other Complementary Tools
Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
CEOs Directory Screen CEOs from public companies around the world | |
Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |