Correlation Between Hafnia and Kaltura
Can any of the company-specific risk be diversified away by investing in both Hafnia and Kaltura 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 Hafnia and Kaltura into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Hafnia Limited and Kaltura, you can compare the effects of market volatilities on Hafnia and Kaltura 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 Hafnia with a short position of Kaltura. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hafnia and Kaltura.
Diversification Opportunities for Hafnia and Kaltura
Pay attention - limited upside
The 3 months correlation between Hafnia and Kaltura is -0.78. Overlapping area represents the amount of risk that can be diversified away by holding Hafnia Limited and Kaltura in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kaltura and Hafnia 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 Hafnia Limited are associated (or correlated) with Kaltura. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kaltura has no effect on the direction of Hafnia i.e., Hafnia and Kaltura go up and down completely randomly.
Pair Corralation between Hafnia and Kaltura
Given the investment horizon of 90 days Hafnia Limited is expected to under-perform the Kaltura. But the stock apears to be less risky and, when comparing its historical volatility, Hafnia Limited is 2.17 times less risky than Kaltura. The stock trades about -0.01 of its potential returns per unit of risk. The Kaltura is currently generating about 0.46 of returns per unit of risk over similar time horizon. If you would invest 134.00 in Kaltura on September 4, 2024 and sell it today you would earn a total of 91.00 from holding Kaltura or generate 67.91% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Hafnia Limited vs. Kaltura
Performance |
| Timeline |
| Hafnia Limited |
| Kaltura |
Hafnia and Kaltura Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hafnia and Kaltura
The main advantage of trading using opposite Hafnia and Kaltura positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hafnia position performs unexpectedly, Kaltura 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 Kaltura will offset losses from the drop in Kaltura's long position.| Hafnia vs. Axalta Coating Systems | Hafnia vs. NL Industries | Hafnia vs. Chemours Co | Hafnia vs. CVR Partners LP |
| Kaltura vs. HeartCore Enterprises | Kaltura vs. Beamr Imaging Ltd | Kaltura vs. Trust Stamp | Kaltura vs. CXApp Inc |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
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