Correlation Between Amkor Technology and SEP Acquisition
Can any of the company-specific risk be diversified away by investing in both Amkor Technology and SEP Acquisition 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 Amkor Technology and SEP Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Amkor Technology and SEP Acquisition Corp, you can compare the effects of market volatilities on Amkor Technology and SEP Acquisition 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 Amkor Technology with a short position of SEP Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Amkor Technology and SEP Acquisition.
Diversification Opportunities for Amkor Technology and SEP Acquisition
-0.36 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Amkor and SEP is -0.36. Overlapping area represents the amount of risk that can be diversified away by holding Amkor Technology and SEP Acquisition Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SEP Acquisition Corp and Amkor Technology 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 Amkor Technology are associated (or correlated) with SEP Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SEP Acquisition Corp has no effect on the direction of Amkor Technology i.e., Amkor Technology and SEP Acquisition go up and down completely randomly.
Pair Corralation between Amkor Technology and SEP Acquisition
If you would invest 1,032 in SEP Acquisition Corp on November 3, 2024 and sell it today you would earn a total of 0.00 from holding SEP Acquisition Corp or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.76% |
| Values | Daily Returns |
Amkor Technology vs. SEP Acquisition Corp
Performance |
| Timeline |
| Amkor Technology |
| SEP Acquisition Corp |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Amkor Technology and SEP Acquisition Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Amkor Technology and SEP Acquisition
The main advantage of trading using opposite Amkor Technology and SEP Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Amkor Technology position performs unexpectedly, SEP Acquisition 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 SEP Acquisition will offset losses from the drop in SEP Acquisition's long position.| Amkor Technology vs. Power Integrations | Amkor Technology vs. Diodes Incorporated | Amkor Technology vs. MACOM Technology Solutions | Amkor Technology vs. Cirrus Logic |
| SEP Acquisition vs. Alta Equipment Group | SEP Acquisition vs. China Aircraft Leasing | SEP Acquisition vs. Skillz Platform | SEP Acquisition vs. SohuCom |
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
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