Correlation Between Citigroup and Karachi 100
Specify exactly 2 symbols:
By analyzing existing cross correlation between Citigroup and Karachi 100, you can compare the effects of market volatilities on Citigroup and Karachi 100 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 Citigroup with a short position of Karachi 100. Check out your portfolio center. Please also check ongoing floating volatility patterns of Citigroup and Karachi 100.
Diversification Opportunities for Citigroup and Karachi 100
0.9 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Citigroup and Karachi is 0.9. Overlapping area represents the amount of risk that can be diversified away by holding Citigroup and Karachi 100 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Karachi 100 and Citigroup 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 Citigroup are associated (or correlated) with Karachi 100. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Karachi 100 has no effect on the direction of Citigroup i.e., Citigroup and Karachi 100 go up and down completely randomly.
Pair Corralation between Citigroup and Karachi 100
Taking into account the 90-day investment horizon Citigroup is expected to generate 1.13 times less return on investment than Karachi 100. In addition to that, Citigroup is 1.43 times more volatile than Karachi 100. It trades about 0.26 of its total potential returns per unit of risk. Karachi 100 is currently generating about 0.41 per unit of volatility. If you would invest 8,896,677 in Karachi 100 on September 1, 2024 and sell it today you would earn a total of 1,239,023 from holding Karachi 100 or generate 13.93% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 95.45% |
| Values | Daily Returns |
Citigroup vs. Karachi 100
Performance |
| Timeline |
Citigroup and Karachi 100 Volatility Contrast
Predicted Return Density |
| Returns |
Citigroup
Pair trading matchups for Citigroup
Karachi 100
Pair trading matchups for Karachi 100
Pair Trading with Citigroup and Karachi 100
The main advantage of trading using opposite Citigroup and Karachi 100 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Citigroup position performs unexpectedly, Karachi 100 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 Karachi 100 will offset losses from the drop in Karachi 100's long position.| Citigroup vs. JPMorgan Chase Co | Citigroup vs. Wells Fargo | Citigroup vs. Toronto Dominion Bank | Citigroup vs. Nu Holdings |
| Karachi 100 vs. Nimir Industrial Chemical | Karachi 100 vs. Shaheen Insurance | Karachi 100 vs. Pakistan Telecommunication | Karachi 100 vs. Reliance Insurance Co |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |