Correlation Between Abrdn Asia and Colliers International

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

By analyzing existing cross correlation between abrdn Asia Pacific and Colliers International Group, you can compare the effects of market volatilities on Abrdn Asia and Colliers International 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 Abrdn Asia with a short position of Colliers International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Abrdn Asia and Colliers International.

Diversification Opportunities for Abrdn Asia and Colliers International

-0.09

Correlation Coefficient

Abrdn Asia  Colliers International

Good diversification

The 3 months correlation between Abrdn and Colliers is -0.09. Overlapping area represents the amount of risk that can be diversified away by holding abrdn Asia Pacific and Colliers International Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Colliers International and Abrdn Asia 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 abrdn Asia Pacific are associated (or correlated) with Colliers International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Colliers International has no effect on the direction of Abrdn Asia i.e., Abrdn Asia and Colliers International go up and down completely randomly.

Pair Corralation between Abrdn Asia and Colliers International

Assuming the 90 days trading horizon Abrdn Asia is expected to generate 2.37 times less return on investment than Colliers International. But when comparing it to its historical volatility, abrdn Asia Pacific is 3.03 times less risky than Colliers International. It trades about 0.07 of its potential returns per unit of risk. Colliers International Group is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest  21,563  in Colliers International Group on August 5, 2025 and sell it today you would earn a total of  812.00  from holding Colliers International Group or generate 3.77% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.44%
Values	Daily Returns

abrdn Asia Pacific  vs.  Colliers International Group

abrdn Asia Pacific

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in abrdn Asia Pacific are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy basic indicators, Abrdn Asia is not utilizing all of its potentials. The latest stock price disarray, may contribute to short-term losses for the investors.

Colliers International

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Colliers International Group are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy basic indicators, Colliers International is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with Abrdn Asia and Colliers International

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

The idea behind abrdn Asia Pacific and Colliers International Group 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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.