Correlation Between Koryo Credit and Shinsegae Information
Can any of the company-specific risk be diversified away by investing in both Koryo Credit and Shinsegae Information 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 Shinsegae Information 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 Shinsegae Information Communication, you can compare the effects of market volatilities on Koryo Credit and Shinsegae Information 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 Shinsegae Information. Check out your portfolio center. Please also check ongoing floating volatility patterns of Koryo Credit and Shinsegae Information.
Diversification Opportunities for Koryo Credit and Shinsegae Information
-0.17 | Correlation Coefficient |
Good diversification
The 3 months correlation between Koryo and Shinsegae is -0.17. Overlapping area represents the amount of risk that can be diversified away by holding Koryo Credit Information and Shinsegae Information Communic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shinsegae Information 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 Shinsegae Information. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shinsegae Information has no effect on the direction of Koryo Credit i.e., Koryo Credit and Shinsegae Information go up and down completely randomly.
Pair Corralation between Koryo Credit and Shinsegae Information
Assuming the 90 days trading horizon Koryo Credit Information is expected to generate 0.69 times more return on investment than Shinsegae Information. However, Koryo Credit Information is 1.44 times less risky than Shinsegae Information. It trades about 0.0 of its potential returns per unit of risk. Shinsegae Information Communication is currently generating about -0.04 per unit of risk. If you would invest 1,015,901 in Koryo Credit Information on August 25, 2024 and sell it today you would lose (22,901) from holding Koryo Credit Information or give up 2.25% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Koryo Credit Information vs. Shinsegae Information Communic
Performance |
| Timeline |
| Koryo Credit Information |
| Shinsegae Information |
Koryo Credit and Shinsegae Information Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Koryo Credit and Shinsegae Information
The main advantage of trading using opposite Koryo Credit and Shinsegae Information positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Koryo Credit position performs unexpectedly, Shinsegae Information 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 Shinsegae Information will offset losses from the drop in Shinsegae Information's long position.| Koryo Credit vs. Samsung Electronics Co | Koryo Credit vs. Samsung Electronics Co | Koryo Credit vs. Hyundai Motor Co | Koryo Credit vs. Hyundai Motor |
| Shinsegae Information vs. AptaBio Therapeutics | Shinsegae Information vs. Daewoo SBI SPAC | Shinsegae Information vs. Dream Security co | Shinsegae Information vs. Microfriend |
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 Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |