Leader Electronics Correlations

3058 Stock  TWD 14.35  0.10  0.69%   
The current 90-days correlation between Leader Electronics and Altek Corp is 0.64 (i.e., Poor diversification). The correlation of Leader Electronics 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. If the correlation is 0, the equities are not correlated; they are entirely random.

Leader Electronics Correlation With Market

Good diversification

The correlation between Leader Electronics and DJI is -0.11 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Leader Electronics and DJI in the same portfolio, assuming nothing else is changed.
  
The ability to find closely correlated positions to Leader Electronics could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Leader Electronics 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 Leader Electronics - 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 Leader Electronics to buy it.

Moving together with Leader Stock

  0.882002 China Steel CorpPairCorr
  0.825880 Taiwan CooperativePairCorr
  0.810051 YuantaP shares TaiwanPairCorr

Moving against Leader Stock

  0.832891C CTBC Financial HoldingPairCorr
  0.782891B CTBC Financial HoldingPairCorr
  0.782888 Shin Kong FinancialPairCorr
  0.762891 CTBC Financial HoldingPairCorr
  0.612330 Taiwan SemiconductorPairCorr
  0.40050 YuantaP shares TaiwanPairCorr
  0.330057 Fubon MSCI TaiwanPairCorr

Related Correlations Analysis

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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   
30483057
30553057
30553048
30413059
  
High negative correlations   
30413048
30413057
30413055
30573059
30483059
30553059

Risk-Adjusted Indicators

There is a big difference between Leader Stock performing well and Leader Electronics 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 Leader Electronics' 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.

Leader Electronics Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Leader Electronics stock to make a market-neutral strategy. Peer analysis of Leader Electronics could also be used in its relative valuation, which is a method of valuing Leader Electronics by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

Leader Electronics Corporate Management

Elected by the shareholders, the Leader Electronics' board of directors comprises two types of representatives: Leader Electronics inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Leader. The board's role is to monitor Leader Electronics' management team and ensure that shareholders' interests are well served. Leader Electronics' inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Leader Electronics' outside directors are responsible for providing unbiased perspectives on the board's policies.