Correlation Between JSC Halyk and Elmos Semiconductor
Can any of the company-specific risk be diversified away by investing in both JSC Halyk and Elmos Semiconductor 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 JSC Halyk and Elmos Semiconductor into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between JSC Halyk bank and Elmos Semiconductor SE, you can compare the effects of market volatilities on JSC Halyk and Elmos Semiconductor 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 JSC Halyk with a short position of Elmos Semiconductor. Check out your portfolio center. Please also check ongoing floating volatility patterns of JSC Halyk and Elmos Semiconductor.
Diversification Opportunities for JSC Halyk and Elmos Semiconductor
-0.24 | Correlation Coefficient |
Very good diversification
The 3 months correlation between JSC and Elmos is -0.24. Overlapping area represents the amount of risk that can be diversified away by holding JSC Halyk bank and Elmos Semiconductor SE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Elmos Semiconductor and JSC Halyk 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 JSC Halyk bank are associated (or correlated) with Elmos Semiconductor. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Elmos Semiconductor has no effect on the direction of JSC Halyk i.e., JSC Halyk and Elmos Semiconductor go up and down completely randomly.
Pair Corralation between JSC Halyk and Elmos Semiconductor
Assuming the 90 days trading horizon JSC Halyk bank is expected to generate 1.37 times more return on investment than Elmos Semiconductor. However, JSC Halyk is 1.37 times more volatile than Elmos Semiconductor SE. It trades about 0.05 of its potential returns per unit of risk. Elmos Semiconductor SE is currently generating about -0.01 per unit of risk. If you would invest 1,165 in JSC Halyk bank on September 12, 2024 and sell it today you would earn a total of 635.00 from holding JSC Halyk bank or generate 54.51% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
JSC Halyk bank vs. Elmos Semiconductor SE
Performance |
| Timeline |
| JSC Halyk bank |
| Elmos Semiconductor |
JSC Halyk and Elmos Semiconductor Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with JSC Halyk and Elmos Semiconductor
The main advantage of trading using opposite JSC Halyk and Elmos Semiconductor positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JSC Halyk position performs unexpectedly, Elmos Semiconductor 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 Elmos Semiconductor will offset losses from the drop in Elmos Semiconductor's long position.| JSC Halyk vs. China Merchants Bank | JSC Halyk vs. HDFC Bank Limited | JSC Halyk vs. ICICI Bank Limited | JSC Halyk vs. PT Bank Central |
| Elmos Semiconductor vs. Taiwan Semiconductor Manufacturing | Elmos Semiconductor vs. Broadcom | Elmos Semiconductor vs. Superior Plus Corp | Elmos Semiconductor vs. SIVERS SEMICONDUCTORS AB |
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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.
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