Correlation Between Keepers Holdings and Balai Ni

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

By analyzing existing cross correlation between Keepers Holdings and Balai Ni Fruitas, you can compare the effects of market volatilities on Keepers Holdings and Balai Ni 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 Keepers Holdings with a short position of Balai Ni. Check out your portfolio center. Please also check ongoing floating volatility patterns of Keepers Holdings and Balai Ni.

Diversification Opportunities for Keepers Holdings and Balai Ni

-0.01

Correlation Coefficient

Keepers Holdings  Balai Ni

Good diversification

The 3 months correlation between Keepers and Balai is -0.01. Overlapping area represents the amount of risk that can be diversified away by holding Keepers Holdings and Balai Ni Fruitas in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Balai Ni Fruitas and Keepers Holdings 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 Keepers Holdings are associated (or correlated) with Balai Ni. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Balai Ni Fruitas has no effect on the direction of Keepers Holdings i.e., Keepers Holdings and Balai Ni go up and down completely randomly.

Pair Corralation between Keepers Holdings and Balai Ni

Assuming the 90 days trading horizon Keepers Holdings is expected to generate 0.49 times more return on investment than Balai Ni. However, Keepers Holdings is 2.04 times less risky than Balai Ni. It trades about 0.06 of its potential returns per unit of risk. Balai Ni Fruitas is currently generating about -0.02 per unit of risk. If you would invest  202.00  in Keepers Holdings on September 13, 2024 and sell it today you would earn a total of  11.00  from holding Keepers Holdings or generate 5.45% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	84.13%
Values	Daily Returns

Keepers Holdings  vs.  Balai Ni Fruitas

Keepers Holdings

Risk-Adjusted Performance

4 of 100

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Keepers Holdings are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Even with relatively invariable technical and fundamental indicators, Keepers Holdings is not utilizing all of its potentials. The newest stock price agitation, may contribute to short-term losses for the retail investors.

Balai Ni Fruitas

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Balai Ni Fruitas has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable essential indicators, Balai Ni is not utilizing all of its potentials. The latest stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Keepers Holdings and Balai Ni

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

The idea behind Keepers Holdings and Balai Ni Fruitas 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.

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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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..