Correlation Between Siit Small and Saat Core
Can any of the company-specific risk be diversified away by investing in both Siit Small and Saat Core 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 Siit Small and Saat Core into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Siit Small Mid and Saat E Market, you can compare the effects of market volatilities on Siit Small and Saat Core 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 Siit Small with a short position of Saat Core. Check out your portfolio center. Please also check ongoing floating volatility patterns of Siit Small and Saat Core.
Diversification Opportunities for Siit Small and Saat Core
0.91 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Siit and Saat is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Siit Small Mid and Saat E Market in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Saat E Market and Siit Small 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 Siit Small Mid are associated (or correlated) with Saat Core. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Saat E Market has no effect on the direction of Siit Small i.e., Siit Small and Saat Core go up and down completely randomly.
Pair Corralation between Siit Small and Saat Core
Assuming the 90 days horizon Siit Small Mid is expected to generate 2.68 times more return on investment than Saat Core. However, Siit Small is 2.68 times more volatile than Saat E Market. It trades about 0.13 of its potential returns per unit of risk. Saat E Market is currently generating about 0.26 per unit of risk. If you would invest 972.00 in Siit Small Mid on May 27, 2025 and sell it today you would earn a total of 75.00 from holding Siit Small Mid or generate 7.72% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Siit Small Mid vs. Saat E Market
Performance |
| Timeline |
| Siit Small Mid |
| Saat E Market |
Siit Small and Saat Core Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Siit Small and Saat Core
The main advantage of trading using opposite Siit Small and Saat Core positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Siit Small position performs unexpectedly, Saat Core 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 Saat Core will offset losses from the drop in Saat Core's long position.| Siit Small vs. Davis Real Estate | Siit Small vs. Rreef Property Trust | Siit Small vs. Dunham Real Estate | Siit Small vs. Baron Real Estate |
| Saat Core vs. Madison Diversified Income | Saat Core vs. Voya Solution Conservative | Saat Core vs. Federated Hermes Conservative | Saat Core vs. Jpmorgan Diversified Fund |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Other Complementary Tools
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |