Correlation Between Haesung Optics and Hankukpackage
Can any of the company-specific risk be diversified away by investing in both Haesung Optics and Hankukpackage 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 Haesung Optics and Hankukpackage into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Haesung Optics Co and Hankukpackage Co, you can compare the effects of market volatilities on Haesung Optics and Hankukpackage 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 Haesung Optics with a short position of Hankukpackage. Check out your portfolio center. Please also check ongoing floating volatility patterns of Haesung Optics and Hankukpackage.
Diversification Opportunities for Haesung Optics and Hankukpackage
-0.01 | Correlation Coefficient |
Good diversification
The 3 months correlation between Haesung and Hankukpackage is -0.01. Overlapping area represents the amount of risk that can be diversified away by holding Haesung Optics Co and Hankukpackage Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hankukpackage and Haesung Optics 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 Haesung Optics Co are associated (or correlated) with Hankukpackage. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hankukpackage has no effect on the direction of Haesung Optics i.e., Haesung Optics and Hankukpackage go up and down completely randomly.
Pair Corralation between Haesung Optics and Hankukpackage
Assuming the 90 days trading horizon Haesung Optics Co is expected to under-perform the Hankukpackage. In addition to that, Haesung Optics is 1.85 times more volatile than Hankukpackage Co. It trades about -0.07 of its total potential returns per unit of risk. Hankukpackage Co is currently generating about -0.04 per unit of volatility. If you would invest 248,573 in Hankukpackage Co on September 2, 2024 and sell it today you would lose (64,273) from holding Hankukpackage Co or give up 25.86% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 96.41% |
| Values | Daily Returns |
Haesung Optics Co vs. Hankukpackage Co
Performance |
| Timeline |
| Haesung Optics |
| Hankukpackage |
Haesung Optics and Hankukpackage Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Haesung Optics and Hankukpackage
The main advantage of trading using opposite Haesung Optics and Hankukpackage positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Haesung Optics position performs unexpectedly, Hankukpackage 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 Hankukpackage will offset losses from the drop in Hankukpackage's long position.| Haesung Optics vs. National Plastic Co | Haesung Optics vs. Home Center Holdings | Haesung Optics vs. Cuckoo Homesys Co | Haesung Optics vs. Hyundai Home Shopping |
| Hankukpackage vs. Busan Industrial Co | Hankukpackage vs. Busan Ind | Hankukpackage vs. Mirae Asset Daewoo | Hankukpackage vs. Finebesteel |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Other Complementary Tools
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |