Lotte Corp Correlations

004990 Stock

20,900 750.00 3.46%

The current 90-days correlation between Lotte Corp and Shinsegae Information Communication is 0.28 (i.e., Modest diversification). The correlation of Lotte Corp is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Lotte Corp Correlation With Market

Significant diversification

The correlation between Lotte Corp and DJI is 0.03 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Lotte Corp and DJI in the same portfolio, assuming nothing else is changed.

The ability to find closely correlated positions to Lotte Corp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Lotte Corp when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Lotte Corp - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Lotte Corp to buy it.

Moving together with Lotte Stock

0.69

005380

Hyundai Motor

Pair Corr

Moving against Lotte Stock

0.69	032830	Samsung Life	Pair Corr
0.62	024110	Industrial Bank	Pair Corr
0.56	105560	KB Financial Group	Pair Corr
0.5	316140	Woori Financial Group	Pair Corr

Related Correlations Analysis

	035510	263800	286940	035460	109960	060370	071200
035510		0.16	0.36	0.43	0.07	0.34	-0.04	035510
263800	0.16		-0.23	-0.12	-0.52	-0.24	0.4	263800
286940	0.36	-0.23		0.51	0.82	0.77	0.01	286940
035460	0.43	-0.12	0.51		0.48	0.3	0.4	035460
109960	0.07	-0.52	0.82	0.48		0.68	-0.07	109960
060370	0.34	-0.24	0.77	0.3	0.68		-0.18	060370
071200	-0.04	0.4	0.01	0.4	-0.07	-0.18		071200
	035510	263800	286940	035460	109960	060370	071200

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Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.

High positive correlations

109960	+ 0.82	286940
060370	+ 0.77	286940
060370	+ 0.68	109960
035460	+ 0.51	286940
109960	+ 0.48	035460
035460	+ 0.43	035510

High negative correlations

109960	- 0.52	263800
060370	- 0.24	263800
286940	- 0.23	263800
071200	- 0.18	060370
035460	- 0.12	263800
071200	- 0.07	109960

Risk-Adjusted Indicators

There is a big difference between Lotte Stock performing well and Lotte Corp Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Lotte Corp's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.

	Mean Deviation	Jensen Alpha	Sortino Ratio	Treynor Ratio	Semi Deviation	Expected Shortfall	Potential Upside	Value @Risk	Maximum Drawdown
035510	1.22	(0.11)	0.00	(1.16)	0.00	0.00	2.71	(2.49)	9.39
263800	2.69	0.17	0.03	0.89	2.48	(3.49)	5.56	(4.08)	27.70
286940	2.11	(0.39)	0.00	0.74	0.00	0.00	4.04	(5.96)	23.89
035460	1.16	(0.07)	0.00	18.24	0.00	0.00	2.19	(2.96)	12.73
109960	2.36	(0.70)	0.00	(1.88)	0.00	0.00	3.94	(5.42)	20.51
060370	2.27	(0.65)	0.00	(0.41)	0.00	0.00	4.61	(4.15)	23.19
071200	1.36	(0.01)	(0.08)	(0.43)	1.66	(1.50)	2.78	(2.59)	7.10

Be your own money manager

Our tools can tell you how much better you can do entering a position in Lotte Corp without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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