Correlation Between Aprogen Healthcare and Shinsegae Information
Can any of the company-specific risk be diversified away by investing in both Aprogen Healthcare 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 Aprogen Healthcare and Shinsegae Information 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 Shinsegae Information Communication, you can compare the effects of market volatilities on Aprogen Healthcare 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 Aprogen Healthcare with a short position of Shinsegae Information. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aprogen Healthcare and Shinsegae Information.
Diversification Opportunities for Aprogen Healthcare and Shinsegae Information
0.09 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Aprogen and Shinsegae is 0.09. Overlapping area represents the amount of risk that can be diversified away by holding Aprogen Healthcare Games and Shinsegae Information Communic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shinsegae Information 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 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 Aprogen Healthcare i.e., Aprogen Healthcare and Shinsegae Information go up and down completely randomly.
Pair Corralation between Aprogen Healthcare and Shinsegae Information
Assuming the 90 days trading horizon Aprogen Healthcare Games is expected to under-perform the Shinsegae Information. But the stock apears to be less risky and, when comparing its historical volatility, Aprogen Healthcare Games is 1.14 times less risky than Shinsegae Information. The stock trades about -0.06 of its potential returns per unit of risk. The Shinsegae Information Communication is currently generating about 0.09 of returns per unit of risk over similar time horizon. If you would invest 919,961 in Shinsegae Information Communication on November 28, 2024 and sell it today you would earn a total of 402,039 from holding Shinsegae Information Communication or generate 43.7% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Aprogen Healthcare Games vs. Shinsegae Information Communic
Performance |
| Timeline |
| Aprogen Healthcare Games |
| Shinsegae Information |
Aprogen Healthcare and Shinsegae Information Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aprogen Healthcare and Shinsegae Information
The main advantage of trading using opposite Aprogen Healthcare and Shinsegae Information positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aprogen Healthcare 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.| Aprogen Healthcare vs. Hana Technology Co | Aprogen Healthcare vs. HB Technology TD | Aprogen Healthcare vs. KMH Hitech Co | Aprogen Healthcare vs. CU Tech Corp |
| 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 Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |