Correlation Between Koryo Credit and KIWI Media
Can any of the company-specific risk be diversified away by investing in both Koryo Credit and KIWI Media 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 Koryo Credit and KIWI Media into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Koryo Credit Information and KIWI Media Group, you can compare the effects of market volatilities on Koryo Credit and KIWI Media 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 Koryo Credit with a short position of KIWI Media. Check out your portfolio center. Please also check ongoing floating volatility patterns of Koryo Credit and KIWI Media.
Diversification Opportunities for Koryo Credit and KIWI Media
-0.12 | Correlation Coefficient |
Good diversification
The 3 months correlation between Koryo and KIWI is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding Koryo Credit Information and KIWI Media Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KIWI Media Group and Koryo Credit 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 Koryo Credit Information are associated (or correlated) with KIWI Media. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KIWI Media Group has no effect on the direction of Koryo Credit i.e., Koryo Credit and KIWI Media go up and down completely randomly.
Pair Corralation between Koryo Credit and KIWI Media
Assuming the 90 days trading horizon Koryo Credit Information is expected to generate 0.17 times more return on investment than KIWI Media. However, Koryo Credit Information is 5.84 times less risky than KIWI Media. It trades about 0.05 of its potential returns per unit of risk. KIWI Media Group is currently generating about -0.13 per unit of risk. If you would invest 954,288 in Koryo Credit Information on October 29, 2024 and sell it today you would earn a total of 26,712 from holding Koryo Credit Information or generate 2.8% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Koryo Credit Information vs. KIWI Media Group
Performance |
| Timeline |
| Koryo Credit Information |
| KIWI Media Group |
Koryo Credit and KIWI Media Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Koryo Credit and KIWI Media
The main advantage of trading using opposite Koryo Credit and KIWI Media positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Koryo Credit position performs unexpectedly, KIWI Media 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 KIWI Media will offset losses from the drop in KIWI Media's long position.| Koryo Credit vs. Dongbu Insurance Co | Koryo Credit vs. Choil Aluminum | Koryo Credit vs. Korea Computer | Koryo Credit vs. Hanjoo Light Metal |
| KIWI Media vs. Samsung Electronics Co | KIWI Media vs. Samsung Electronics Co | KIWI Media vs. LG Energy Solution | KIWI Media vs. SK Hynix |
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 Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |