Correlation Between Bank of America and KIM GROWTH
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bank of America and KIM GROWTH VN, you can compare the effects of market volatilities on Bank of America and KIM GROWTH 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 Bank of America with a short position of KIM GROWTH. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of America and KIM GROWTH.
Diversification Opportunities for Bank of America and KIM GROWTH
-0.15 | Correlation Coefficient |
Good diversification
The 3 months correlation between Bank and KIM is -0.15. Overlapping area represents the amount of risk that can be diversified away by holding Bank of America and KIM GROWTH VN in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KIM GROWTH VN and Bank of America 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 Bank of America are associated (or correlated) with KIM GROWTH. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KIM GROWTH VN has no effect on the direction of Bank of America i.e., Bank of America and KIM GROWTH go up and down completely randomly.
Pair Corralation between Bank of America and KIM GROWTH
Considering the 90-day investment horizon Bank of America is expected to generate 1.31 times more return on investment than KIM GROWTH. However, Bank of America is 1.31 times more volatile than KIM GROWTH VN. It trades about 0.27 of its potential returns per unit of risk. KIM GROWTH VN is currently generating about -0.16 per unit of risk. If you would invest 4,262 in Bank of America on August 29, 2024 and sell it today you would earn a total of 523.50 from holding Bank of America or generate 12.28% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 60.87% |
| Values | Daily Returns |
Bank of America vs. KIM GROWTH VN
Performance |
| Timeline |
| Bank of America |
| KIM GROWTH VN |
Bank of America and KIM GROWTH Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank of America and KIM GROWTH
The main advantage of trading using opposite Bank of America and KIM GROWTH positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of America position performs unexpectedly, KIM GROWTH 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 KIM GROWTH will offset losses from the drop in KIM GROWTH's long position.| Bank of America vs. Citigroup | Bank of America vs. Wells Fargo | Bank of America vs. Toronto Dominion Bank | Bank of America vs. JPMorgan Chase Co |
| KIM GROWTH vs. Idico JSC | KIM GROWTH vs. Vietnam Medicinal Materials | KIM GROWTH vs. DHG Pharmaceutical JSC | KIM GROWTH vs. Alphanam ME |
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 Stocks Directory module to find actively traded stocks across global markets.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |