Correlation Between Access Bio and SHINWON STRUCTION
Can any of the company-specific risk be diversified away by investing in both Access Bio and SHINWON STRUCTION 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 Access Bio and SHINWON STRUCTION into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Access Bio and SHINWON STRUCTION COMPANY, you can compare the effects of market volatilities on Access Bio and SHINWON STRUCTION 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 Access Bio with a short position of SHINWON STRUCTION. Check out your portfolio center. Please also check ongoing floating volatility patterns of Access Bio and SHINWON STRUCTION.
Diversification Opportunities for Access Bio and SHINWON STRUCTION
0.72 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Access and SHINWON is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding Access Bio and SHINWON STRUCTION COMPANY in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SHINWON STRUCTION PANY and Access Bio 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 Access Bio are associated (or correlated) with SHINWON STRUCTION. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SHINWON STRUCTION PANY has no effect on the direction of Access Bio i.e., Access Bio and SHINWON STRUCTION go up and down completely randomly.
Pair Corralation between Access Bio and SHINWON STRUCTION
Assuming the 90 days trading horizon Access Bio is expected to generate 1.16 times more return on investment than SHINWON STRUCTION. However, Access Bio is 1.16 times more volatile than SHINWON STRUCTION COMPANY. It trades about 0.0 of its potential returns per unit of risk. SHINWON STRUCTION COMPANY is currently generating about -0.02 per unit of risk. If you would invest 796,000 in Access Bio on August 28, 2024 and sell it today you would lose (218,000) from holding Access Bio or give up 27.39% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 99.41% |
| Values | Daily Returns |
Access Bio vs. SHINWON STRUCTION COMPANY
Performance |
| Timeline |
| Access Bio |
| SHINWON STRUCTION PANY |
Access Bio and SHINWON STRUCTION Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Access Bio and SHINWON STRUCTION
The main advantage of trading using opposite Access Bio and SHINWON STRUCTION positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Access Bio position performs unexpectedly, SHINWON STRUCTION 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 SHINWON STRUCTION will offset losses from the drop in SHINWON STRUCTION's long position.| Access Bio vs. Dongbang Transport Logistics | Access Bio vs. Taegu Broadcasting | Access Bio vs. Ssangyong Information Communication | Access Bio vs. Nable Communications |
| SHINWON STRUCTION vs. Samsung Electronics Co | SHINWON STRUCTION vs. Samsung Electronics Co | SHINWON STRUCTION vs. Hyundai Motor Co | SHINWON STRUCTION vs. Hyundai Motor |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |