Correlation Between ELL ENVIRONHLDGS and Amkor Technology
Can any of the company-specific risk be diversified away by investing in both ELL ENVIRONHLDGS and Amkor Technology 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 ELL ENVIRONHLDGS and Amkor Technology into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ELL ENVIRONHLDGS HD 0001 and Amkor Technology, you can compare the effects of market volatilities on ELL ENVIRONHLDGS and Amkor Technology 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 ELL ENVIRONHLDGS with a short position of Amkor Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of ELL ENVIRONHLDGS and Amkor Technology.
Diversification Opportunities for ELL ENVIRONHLDGS and Amkor Technology
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between ELL and Amkor is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding ELL ENVIRONHLDGS HD 0001 and Amkor Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amkor Technology and ELL ENVIRONHLDGS 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 ELL ENVIRONHLDGS HD 0001 are associated (or correlated) with Amkor Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amkor Technology has no effect on the direction of ELL ENVIRONHLDGS i.e., ELL ENVIRONHLDGS and Amkor Technology go up and down completely randomly.
Pair Corralation between ELL ENVIRONHLDGS and Amkor Technology
Assuming the 90 days horizon ELL ENVIRONHLDGS HD 0001 is expected to under-perform the Amkor Technology. In addition to that, ELL ENVIRONHLDGS is 1.08 times more volatile than Amkor Technology. It trades about -0.24 of its total potential returns per unit of risk. Amkor Technology is currently generating about -0.18 per unit of volatility. If you would invest 2,472 in Amkor Technology on November 3, 2024 and sell it today you would lose (176.00) from holding Amkor Technology or give up 7.12% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
ELL ENVIRONHLDGS HD 0001 vs. Amkor Technology
Performance |
| Timeline |
| ELL ENVIRONHLDGS |
| Amkor Technology |
ELL ENVIRONHLDGS and Amkor Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ELL ENVIRONHLDGS and Amkor Technology
The main advantage of trading using opposite ELL ENVIRONHLDGS and Amkor Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ELL ENVIRONHLDGS position performs unexpectedly, Amkor Technology 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 Amkor Technology will offset losses from the drop in Amkor Technology's long position.| ELL ENVIRONHLDGS vs. Gaztransport Technigaz SA | ELL ENVIRONHLDGS vs. EVS Broadcast Equipment | ELL ENVIRONHLDGS vs. MACOM Technology Solutions | ELL ENVIRONHLDGS vs. NAGOYA RAILROAD |
| Amkor Technology vs. GREENX METALS LTD | Amkor Technology vs. CN MODERN DAIRY | Amkor Technology vs. PLANT VEDA FOODS | Amkor Technology vs. MTY Food Group |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA |