Correlation Between SK Hynix and MediaZen
Can any of the company-specific risk be diversified away by investing in both SK Hynix and MediaZen 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 SK Hynix and MediaZen into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SK Hynix and MediaZen, you can compare the effects of market volatilities on SK Hynix and MediaZen 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 SK Hynix with a short position of MediaZen. Check out your portfolio center. Please also check ongoing floating volatility patterns of SK Hynix and MediaZen.
Diversification Opportunities for SK Hynix and MediaZen
Pay attention - limited upside
The 3 months correlation between 000660 and MediaZen is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding SK Hynix and MediaZen in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MediaZen and SK Hynix 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 SK Hynix are associated (or correlated) with MediaZen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MediaZen has no effect on the direction of SK Hynix i.e., SK Hynix and MediaZen go up and down completely randomly.
Pair Corralation between SK Hynix and MediaZen
If you would invest 17,390,000 in SK Hynix on October 29, 2024 and sell it today you would earn a total of 4,710,000 from holding SK Hynix or generate 27.08% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 94.74% |
| Values | Daily Returns |
SK Hynix vs. MediaZen
Performance |
| Timeline |
| SK Hynix |
| MediaZen |
SK Hynix and MediaZen Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SK Hynix and MediaZen
The main advantage of trading using opposite SK Hynix and MediaZen positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SK Hynix position performs unexpectedly, MediaZen 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 MediaZen will offset losses from the drop in MediaZen's long position.| SK Hynix vs. Union Materials Corp | SK Hynix vs. PI Advanced Materials | SK Hynix vs. WONIK Materials CoLtd | SK Hynix vs. INNOX Advanced Materials |
| MediaZen vs. Duksan Hi Metal | MediaZen vs. Hanjoo Light Metal | MediaZen vs. Haitai Confectionery Foods | MediaZen vs. Organic Special Pet |
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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
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