Correlation Between Aprogen Healthcare and Youl Chon
Can any of the company-specific risk be diversified away by investing in both Aprogen Healthcare and Youl Chon 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 Aprogen Healthcare and Youl Chon into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aprogen Healthcare Games and Youl Chon Chemical, you can compare the effects of market volatilities on Aprogen Healthcare and Youl Chon 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 Aprogen Healthcare with a short position of Youl Chon. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aprogen Healthcare and Youl Chon.
Diversification Opportunities for Aprogen Healthcare and Youl Chon
-0.02 | Correlation Coefficient |
Good diversification
The 3 months correlation between Aprogen and Youl is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding Aprogen Healthcare Games and Youl Chon Chemical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Youl Chon Chemical and Aprogen Healthcare 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 Aprogen Healthcare Games are associated (or correlated) with Youl Chon. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Youl Chon Chemical has no effect on the direction of Aprogen Healthcare i.e., Aprogen Healthcare and Youl Chon go up and down completely randomly.
Pair Corralation between Aprogen Healthcare and Youl Chon
Assuming the 90 days trading horizon Aprogen Healthcare Games is expected to under-perform the Youl Chon. But the stock apears to be less risky and, when comparing its historical volatility, Aprogen Healthcare Games is 2.97 times less risky than Youl Chon. The stock trades about -0.24 of its potential returns per unit of risk. The Youl Chon Chemical is currently generating about 0.28 of returns per unit of risk over similar time horizon. If you would invest 2,330,000 in Youl Chon Chemical on November 11, 2024 and sell it today you would earn a total of 900,000 from holding Youl Chon Chemical or generate 38.63% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Aprogen Healthcare Games vs. Youl Chon Chemical
Performance |
| Timeline |
| Aprogen Healthcare Games |
| Youl Chon Chemical |
Aprogen Healthcare and Youl Chon Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aprogen Healthcare and Youl Chon
The main advantage of trading using opposite Aprogen Healthcare and Youl Chon positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aprogen Healthcare position performs unexpectedly, Youl Chon 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 Youl Chon will offset losses from the drop in Youl Chon's long position.| Aprogen Healthcare vs. SBI Investment KOREA | Aprogen Healthcare vs. Atinum Investment Co | Aprogen Healthcare vs. GS Retail Co | Aprogen Healthcare vs. Dong A Steel Technology |
| Youl Chon vs. Hanwha InvestmentSecurities Co | Youl Chon vs. EBEST Investment Securities | Youl Chon vs. Samyung Trading Co | Youl Chon vs. Korea Investment Holdings |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules |