Correlation Between PARKSON Retail and That Marketing

Can any of the company-specific risk be diversified away by investing in both PARKSON Retail and That Marketing 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 PARKSON Retail and That Marketing into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between PARKSON Retail Group and That Marketing Solution, you can compare the effects of market volatilities on PARKSON Retail and That Marketing 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 PARKSON Retail with a short position of That Marketing. Check out your portfolio center. Please also check ongoing floating volatility patterns of PARKSON Retail and That Marketing.

Diversification Opportunities for PARKSON Retail and That Marketing

0.0

Correlation Coefficient

PARKSON Retail  That Marketing

Pay attention - limited upside

The 3 months correlation between PARKSON and That is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding PARKSON Retail Group and That Marketing Solution in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on That Marketing Solution and PARKSON Retail 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 PARKSON Retail Group are associated (or correlated) with That Marketing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of That Marketing Solution has no effect on the direction of PARKSON Retail i.e., PARKSON Retail and That Marketing go up and down completely randomly.

Pair Corralation between PARKSON Retail and That Marketing

If you would invest  0.00  in That Marketing Solution on September 8, 2025 and sell it today you would earn a total of  0.00  from holding That Marketing Solution or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.46%
Values	Daily Returns

PARKSON Retail Group  vs.  That Marketing Solution

PARKSON Retail Group

Risk-Adjusted Performance

Weakest

Over the last 90 days PARKSON Retail Group has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong technical and fundamental indicators, PARKSON Retail is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

That Marketing Solution

Risk-Adjusted Performance

Weakest

Over the last 90 days That Marketing Solution has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, That Marketing is not utilizing all of its potentials. The current stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with PARKSON Retail and That Marketing

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

The idea behind PARKSON Retail Group and That Marketing Solution 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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.