Correlation Between Jupiter Fund and Samsung Electronics
Can any of the company-specific risk be diversified away by investing in both Jupiter Fund and Samsung Electronics 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 Jupiter Fund and Samsung Electronics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jupiter Fund Management and Samsung Electronics Co, you can compare the effects of market volatilities on Jupiter Fund and Samsung Electronics 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 Jupiter Fund with a short position of Samsung Electronics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jupiter Fund and Samsung Electronics.
Diversification Opportunities for Jupiter Fund and Samsung Electronics
0.39 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Jupiter and Samsung is 0.39. Overlapping area represents the amount of risk that can be diversified away by holding Jupiter Fund Management and Samsung Electronics Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Samsung Electronics and Jupiter Fund 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 Jupiter Fund Management are associated (or correlated) with Samsung Electronics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Samsung Electronics has no effect on the direction of Jupiter Fund i.e., Jupiter Fund and Samsung Electronics go up and down completely randomly.
Pair Corralation between Jupiter Fund and Samsung Electronics
Assuming the 90 days horizon Jupiter Fund Management is expected to under-perform the Samsung Electronics. In addition to that, Jupiter Fund is 1.46 times more volatile than Samsung Electronics Co. It trades about -0.01 of its total potential returns per unit of risk. Samsung Electronics Co is currently generating about 0.0 per unit of volatility. If you would invest 98,680 in Samsung Electronics Co on September 23, 2024 and sell it today you would lose (10,880) from holding Samsung Electronics Co or give up 11.03% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jupiter Fund Management vs. Samsung Electronics Co
Performance |
| Timeline |
| Jupiter Fund Management |
| Samsung Electronics |
Jupiter Fund and Samsung Electronics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jupiter Fund and Samsung Electronics
The main advantage of trading using opposite Jupiter Fund and Samsung Electronics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jupiter Fund position performs unexpectedly, Samsung Electronics 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 Samsung Electronics will offset losses from the drop in Samsung Electronics' long position.| Jupiter Fund vs. Blackstone Group | Jupiter Fund vs. The Bank of | Jupiter Fund vs. Ameriprise Financial | Jupiter Fund vs. State Street |
| Samsung Electronics vs. Materialise NV | Samsung Electronics vs. EAGLE MATERIALS | Samsung Electronics vs. Jupiter Fund Management | Samsung Electronics vs. Plastic Omnium |
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 Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
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