Correlation Between Kisan Telecom and Mirae Asset
Can any of the company-specific risk be diversified away by investing in both Kisan Telecom and Mirae Asset 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 Kisan Telecom and Mirae Asset into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kisan Telecom Co and Mirae Asset Daewoo, you can compare the effects of market volatilities on Kisan Telecom and Mirae Asset 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 Kisan Telecom with a short position of Mirae Asset. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kisan Telecom and Mirae Asset.
Diversification Opportunities for Kisan Telecom and Mirae Asset
-0.02 | Correlation Coefficient |
Good diversification
The 3 months correlation between Kisan and Mirae is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding Kisan Telecom Co and Mirae Asset Daewoo in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mirae Asset Daewoo and Kisan Telecom 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 Kisan Telecom Co are associated (or correlated) with Mirae Asset. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mirae Asset Daewoo has no effect on the direction of Kisan Telecom i.e., Kisan Telecom and Mirae Asset go up and down completely randomly.
Pair Corralation between Kisan Telecom and Mirae Asset
Assuming the 90 days trading horizon Kisan Telecom Co is expected to under-perform the Mirae Asset. In addition to that, Kisan Telecom is 1.43 times more volatile than Mirae Asset Daewoo. It trades about -0.09 of its total potential returns per unit of risk. Mirae Asset Daewoo is currently generating about 0.08 per unit of volatility. If you would invest 354,000 in Mirae Asset Daewoo on September 3, 2024 and sell it today you would earn a total of 48,000 from holding Mirae Asset Daewoo or generate 13.56% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kisan Telecom Co vs. Mirae Asset Daewoo
Performance |
| Timeline |
| Kisan Telecom |
| Mirae Asset Daewoo |
Kisan Telecom and Mirae Asset Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kisan Telecom and Mirae Asset
The main advantage of trading using opposite Kisan Telecom and Mirae Asset positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kisan Telecom position performs unexpectedly, Mirae Asset 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 Mirae Asset will offset losses from the drop in Mirae Asset's long position.| Kisan Telecom vs. Dongsin Engineering Construction | Kisan Telecom vs. Doosan Fuel Cell | Kisan Telecom vs. Daishin Balance 1 | Kisan Telecom vs. Total Soft Bank |
| Mirae Asset vs. ChipsMedia | Mirae Asset vs. Kisan Telecom Co | Mirae Asset vs. T3 Entertainment Co | Mirae Asset vs. MEDIANA CoLtd |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |