Correlation Between Franklin Floating and KLP AksjeGlobal
Specify exactly 2 symbols:
By analyzing existing cross correlation between Franklin Floating Rate and KLP AksjeGlobal Indeks, you can compare the effects of market volatilities on Franklin Floating and KLP AksjeGlobal 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 Franklin Floating with a short position of KLP AksjeGlobal. Check out your portfolio center. Please also check ongoing floating volatility patterns of Franklin Floating and KLP AksjeGlobal.
Diversification Opportunities for Franklin Floating and KLP AksjeGlobal
0.93 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Franklin and KLP is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding Franklin Floating Rate and KLP AksjeGlobal Indeks in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KLP AksjeGlobal Indeks and Franklin Floating 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 Franklin Floating Rate are associated (or correlated) with KLP AksjeGlobal. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KLP AksjeGlobal Indeks has no effect on the direction of Franklin Floating i.e., Franklin Floating and KLP AksjeGlobal go up and down completely randomly.
Pair Corralation between Franklin Floating and KLP AksjeGlobal
Assuming the 90 days trading horizon Franklin Floating is expected to generate 3.07 times less return on investment than KLP AksjeGlobal. But when comparing it to its historical volatility, Franklin Floating Rate is 7.33 times less risky than KLP AksjeGlobal. It trades about 0.23 of its potential returns per unit of risk. KLP AksjeGlobal Indeks is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 373,241 in KLP AksjeGlobal Indeks on September 3, 2024 and sell it today you would earn a total of 33,924 from holding KLP AksjeGlobal Indeks or generate 9.09% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 98.45% |
| Values | Daily Returns |
Franklin Floating Rate vs. KLP AksjeGlobal Indeks
Performance |
| Timeline |
| Franklin Floating Rate |
| KLP AksjeGlobal Indeks |
Franklin Floating and KLP AksjeGlobal Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Franklin Floating and KLP AksjeGlobal
The main advantage of trading using opposite Franklin Floating and KLP AksjeGlobal positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Franklin Floating position performs unexpectedly, KLP AksjeGlobal 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 KLP AksjeGlobal will offset losses from the drop in KLP AksjeGlobal's long position.| Franklin Floating vs. Franklin Floating Rate | Franklin Floating vs. Franklin Floating Rate | Franklin Floating vs. Dalata Hotel Group | Franklin Floating vs. Uniphar Group PLC |
| KLP AksjeGlobal vs. Franklin Floating Rate | KLP AksjeGlobal vs. Franklin Floating Rate | KLP AksjeGlobal vs. Franklin Floating Rate | KLP AksjeGlobal vs. Dalata Hotel 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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.
Other Complementary Tools
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |