Correlation Between Hanmi Semiconductor and Samji Electronics
Can any of the company-specific risk be diversified away by investing in both Hanmi Semiconductor and Samji Electronics 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 Hanmi Semiconductor and Samji Electronics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Hanmi Semiconductor Co and Samji Electronics Co, you can compare the effects of market volatilities on Hanmi Semiconductor and Samji Electronics 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 Hanmi Semiconductor with a short position of Samji Electronics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hanmi Semiconductor and Samji Electronics.
Diversification Opportunities for Hanmi Semiconductor and Samji Electronics
0.52 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Hanmi and Samji is 0.52. Overlapping area represents the amount of risk that can be diversified away by holding Hanmi Semiconductor Co and Samji Electronics Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Samji Electronics and Hanmi Semiconductor 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 Hanmi Semiconductor Co are associated (or correlated) with Samji Electronics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Samji Electronics has no effect on the direction of Hanmi Semiconductor i.e., Hanmi Semiconductor and Samji Electronics go up and down completely randomly.
Pair Corralation between Hanmi Semiconductor and Samji Electronics
Assuming the 90 days trading horizon Hanmi Semiconductor Co is expected to generate 3.44 times more return on investment than Samji Electronics. However, Hanmi Semiconductor is 3.44 times more volatile than Samji Electronics Co. It trades about 0.05 of its potential returns per unit of risk. Samji Electronics Co is currently generating about 0.03 per unit of risk. If you would invest 6,082,930 in Hanmi Semiconductor Co on August 25, 2024 and sell it today you would earn a total of 2,257,070 from holding Hanmi Semiconductor Co or generate 37.1% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hanmi Semiconductor Co vs. Samji Electronics Co
Performance |
| Timeline |
| Hanmi Semiconductor |
| Samji Electronics |
Hanmi Semiconductor and Samji Electronics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hanmi Semiconductor and Samji Electronics
The main advantage of trading using opposite Hanmi Semiconductor and Samji Electronics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hanmi Semiconductor position performs unexpectedly, Samji Electronics 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 Samji Electronics will offset losses from the drop in Samji Electronics' long position.| Hanmi Semiconductor vs. AptaBio Therapeutics | Hanmi Semiconductor vs. Daewoo SBI SPAC | Hanmi Semiconductor vs. Dream Security co | Hanmi Semiconductor vs. Microfriend |
| Samji Electronics vs. Korea Real Estate | Samji Electronics vs. Korea Ratings Co | Samji Electronics vs. IQuest Co | Samji Electronics vs. Wonbang Tech Co |
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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Other Complementary Tools
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Stocks Directory Find actively traded stocks across global markets | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. |