Correlation Between Thoresen Thai and WHA Public
Can any of the company-specific risk be diversified away by investing in both Thoresen Thai and WHA Public 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 Thoresen Thai and WHA Public into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Thoresen Thai Agencies and WHA Public, you can compare the effects of market volatilities on Thoresen Thai and WHA Public 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 Thoresen Thai with a short position of WHA Public. Check out your portfolio center. Please also check ongoing floating volatility patterns of Thoresen Thai and WHA Public.
Diversification Opportunities for Thoresen Thai and WHA Public
-0.25 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Thoresen and WHA is -0.25. Overlapping area represents the amount of risk that can be diversified away by holding Thoresen Thai Agencies and WHA Public in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on WHA Public and Thoresen Thai 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 Thoresen Thai Agencies are associated (or correlated) with WHA Public. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of WHA Public has no effect on the direction of Thoresen Thai i.e., Thoresen Thai and WHA Public go up and down completely randomly.
Pair Corralation between Thoresen Thai and WHA Public
Assuming the 90 days trading horizon Thoresen Thai Agencies is expected to under-perform the WHA Public. In addition to that, Thoresen Thai is 1.19 times more volatile than WHA Public. It trades about -0.15 of its total potential returns per unit of risk. WHA Public is currently generating about -0.02 per unit of volatility. If you would invest 538.00 in WHA Public on September 24, 2024 and sell it today you would lose (18.00) from holding WHA Public or give up 3.35% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Thoresen Thai Agencies vs. WHA Public
Performance |
Timeline |
Thoresen Thai Agencies |
WHA Public |
Thoresen Thai and WHA Public Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Thoresen Thai and WHA Public
The main advantage of trading using opposite Thoresen Thai and WHA Public positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Thoresen Thai position performs unexpectedly, WHA Public 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 WHA Public will offset losses from the drop in WHA Public's long position.Thoresen Thai vs. Precious Shipping Public | Thoresen Thai vs. Regional Container Lines | Thoresen Thai vs. PTT Public | Thoresen Thai vs. The Siam Cement |
WHA Public vs. Bangkok Bank Public | WHA Public vs. The Siam Cement | WHA Public vs. PTT Public | WHA Public vs. SCB X Public |
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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios |