Correlation Between Hansol Inticube and Myoung Shin
Can any of the company-specific risk be diversified away by investing in both Hansol Inticube and Myoung Shin 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 Hansol Inticube and Myoung Shin into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Hansol Inticube Co and Myoung Shin Industrial, you can compare the effects of market volatilities on Hansol Inticube and Myoung Shin 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 Hansol Inticube with a short position of Myoung Shin. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hansol Inticube and Myoung Shin.
Diversification Opportunities for Hansol Inticube and Myoung Shin
0.26 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Hansol and Myoung is 0.26. Overlapping area represents the amount of risk that can be diversified away by holding Hansol Inticube Co and Myoung Shin Industrial in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Myoung Shin Industrial and Hansol Inticube 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 Hansol Inticube Co are associated (or correlated) with Myoung Shin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Myoung Shin Industrial has no effect on the direction of Hansol Inticube i.e., Hansol Inticube and Myoung Shin go up and down completely randomly.
Pair Corralation between Hansol Inticube and Myoung Shin
Assuming the 90 days trading horizon Hansol Inticube Co is expected to under-perform the Myoung Shin. In addition to that, Hansol Inticube is 1.07 times more volatile than Myoung Shin Industrial. It trades about -0.07 of its total potential returns per unit of risk. Myoung Shin Industrial is currently generating about -0.06 per unit of volatility. If you would invest 1,800,407 in Myoung Shin Industrial on August 31, 2024 and sell it today you would lose (599,407) from holding Myoung Shin Industrial or give up 33.29% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 99.59% |
| Values | Daily Returns |
Hansol Inticube Co vs. Myoung Shin Industrial
Performance |
| Timeline |
| Hansol Inticube |
| Myoung Shin Industrial |
Hansol Inticube and Myoung Shin Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hansol Inticube and Myoung Shin
The main advantage of trading using opposite Hansol Inticube and Myoung Shin positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hansol Inticube position performs unexpectedly, Myoung Shin 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 Myoung Shin will offset losses from the drop in Myoung Shin's long position.| Hansol Inticube vs. Myoung Shin Industrial | Hansol Inticube vs. Namhwa Industrial Co | Hansol Inticube vs. Daiyang Metal Co | Hansol Inticube vs. PJ Metal Co |
| Myoung Shin vs. CKH Food Health | Myoung Shin vs. Shinsegae Food | Myoung Shin vs. ABOV Semiconductor Co | Myoung Shin vs. ENERGYMACHINERY KOREA 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 Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Stocks Directory Find actively traded stocks across global markets | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |