Correlation Between SPASX Dividend and Kkr Credit
Can any of the company-specific risk be diversified away by investing in both SPASX Dividend and Kkr Credit 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 SPASX Dividend and Kkr Credit into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SPASX Dividend Opportunities and Kkr Credit Income, you can compare the effects of market volatilities on SPASX Dividend and Kkr Credit 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 SPASX Dividend with a short position of Kkr Credit. Check out your portfolio center. Please also check ongoing floating volatility patterns of SPASX Dividend and Kkr Credit.
Diversification Opportunities for SPASX Dividend and Kkr Credit
0.16 | Correlation Coefficient |
Average diversification
The 3 months correlation between SPASX and Kkr is 0.16. Overlapping area represents the amount of risk that can be diversified away by holding SPASX Dividend Opportunities and Kkr Credit Income in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kkr Credit Income and SPASX Dividend 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 SPASX Dividend Opportunities are associated (or correlated) with Kkr Credit. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kkr Credit Income has no effect on the direction of SPASX Dividend i.e., SPASX Dividend and Kkr Credit go up and down completely randomly.
Pair Corralation between SPASX Dividend and Kkr Credit
Assuming the 90 days trading horizon SPASX Dividend Opportunities is expected to generate 0.88 times more return on investment than Kkr Credit. However, SPASX Dividend Opportunities is 1.14 times less risky than Kkr Credit. It trades about 0.05 of its potential returns per unit of risk. Kkr Credit Income is currently generating about -0.07 per unit of risk. If you would invest 167,020 in SPASX Dividend Opportunities on August 29, 2024 and sell it today you would earn a total of 1,100 from holding SPASX Dividend Opportunities or generate 0.66% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
SPASX Dividend Opportunities vs. Kkr Credit Income
Performance |
| Timeline |
SPASX Dividend and Kkr Credit Volatility Contrast
Predicted Return Density |
| Returns |
SPASX Dividend Opportunities
Pair trading matchups for SPASX Dividend
Kkr Credit Income
Pair trading matchups for Kkr Credit
Pair Trading with SPASX Dividend and Kkr Credit
The main advantage of trading using opposite SPASX Dividend and Kkr Credit positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SPASX Dividend position performs unexpectedly, Kkr Credit 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 Kkr Credit will offset losses from the drop in Kkr Credit's long position.| SPASX Dividend vs. Red Hill Iron | SPASX Dividend vs. Ainsworth Game Technology | SPASX Dividend vs. Champion Iron | SPASX Dividend vs. Autosports Group |
| Kkr Credit vs. Australian Unity Office | Kkr Credit vs. Kip McGrath Education | Kkr Credit vs. Thorney Technologies | Kkr Credit vs. Qbe Insurance 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets |