New Era Correlations

4909 Stock

TWD 122.00 7.50 6.55%

The current 90-days correlation between New Era Electronics and Unimicron Technology Corp is 0.39 (i.e., Weak diversification). The correlation of New Era 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.

New Era Correlation With Market

Good diversification

The correlation between New Era Electronics and DJI is -0.02 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding New Era Electronics and DJI in the same portfolio, assuming nothing else is changed.

The ability to find closely correlated positions to New Era could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace New Era 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 New Era - 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 New Era Electronics to buy it.

Moving together with New Stock

0.71	8046	Nan Ya Printed	Pair Corr
0.71	6191	Global Brands Manufacture	Pair Corr
0.8	2884	ESUN Financial Holding	Pair Corr
0.82	5880	Taiwan Cooperative	Pair Corr
0.66	0051	YuantaP shares Taiwan	Pair Corr

Moving against New Stock

0.52	2328	Pan International	Pair Corr
0.5	3037	Unimicron Technology Corp	Pair Corr
0.42	2891B	CTBC Financial Holding	Pair Corr
0.35	6213	ITEQ Corp	Pair Corr
0.33	2891	CTBC Financial Holding	Pair Corr

Related Correlations Analysis

	3037	8046	2383	2313	3044	2328	5469	6191
3037		-0.11	-0.23	-0.2	-0.02	0.76	0.18	-0.29	3037
8046	-0.11		-0.17	0.55	0.67	-0.43	0.49	0.88	8046
2383	-0.23	-0.17		0.48	0.33	-0.14	-0.73	-0.01	2383
2313	-0.2	0.55	0.48		0.79	-0.54	-0.31	0.65	2313
3044	-0.02	0.67	0.33	0.79		-0.41	0.07	0.73	3044
2328	0.76	-0.43	-0.14	-0.54	-0.41		0.0	-0.58	2328
5469	0.18	0.49	-0.73	-0.31	0.07	0.0		0.37	5469
6191	-0.29	0.88	-0.01	0.65	0.73	-0.58	0.37		6191
	3037	8046	2383	2313	3044	2328	5469	6191

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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

6191	+ 0.88	8046
3044	+ 0.79	2313
2328	+ 0.76	3037
6191	+ 0.73	3044
3044	+ 0.67	8046
6191	+ 0.65	2313

High negative correlations

5469	- 0.73	2383
6191	- 0.58	2328
2328	- 0.54	2313
2328	- 0.43	8046
2328	- 0.41	3044
5469	- 0.31	2313

Risk-Adjusted Indicators

There is a big difference between New Stock performing well and New Era 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 New Era'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
3037	1.91	(0.23)	0.00	(0.15)	0.00	0.00	4.84	(3.58)	13.28
8046	1.81	(0.43)	0.00	(0.71)	0.00	0.00	3.66	(4.41)	11.88
2383	2.09	0.25	0.04	(1.61)	2.42	(2.46)	5.68	(4.49)	12.67
2313	1.59	(0.56)	0.00	(0.41)	0.00	0.00	2.44	(3.98)	11.77
3044	1.26	(0.13)	0.00	(0.28)	0.00	0.00	2.74	(2.92)	7.09
2328	1.41	0.04	(0.01)	0.20	1.50	(1.71)	2.53	(2.56)	10.11
5469	1.04	(0.08)	0.00	(0.19)	0.00	0.00	1.84	(2.14)	9.81
6191	1.19	(0.22)	0.00	(1.37)	0.00	0.00	1.99	(2.70)	7.06

Be your own money manager

Our tools can tell you how much better you can do entering a position in New Era 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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