Correlation Between KENEDIX OFFICE and ATHENE HOLDING
Can any of the company-specific risk be diversified away by investing in both KENEDIX OFFICE and ATHENE HOLDING 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 KENEDIX OFFICE and ATHENE HOLDING into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KENEDIX OFFICE INV and ATHENE HOLDING PRFSERC, you can compare the effects of market volatilities on KENEDIX OFFICE and ATHENE HOLDING 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 KENEDIX OFFICE with a short position of ATHENE HOLDING. Check out your portfolio center. Please also check ongoing floating volatility patterns of KENEDIX OFFICE and ATHENE HOLDING.
Diversification Opportunities for KENEDIX OFFICE and ATHENE HOLDING
-0.63 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between KENEDIX and ATHENE is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding KENEDIX OFFICE INV and ATHENE HOLDING PRFSERC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ATHENE HOLDING PRFSERC and KENEDIX OFFICE 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 KENEDIX OFFICE INV are associated (or correlated) with ATHENE HOLDING. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ATHENE HOLDING PRFSERC has no effect on the direction of KENEDIX OFFICE i.e., KENEDIX OFFICE and ATHENE HOLDING go up and down completely randomly.
Pair Corralation between KENEDIX OFFICE and ATHENE HOLDING
Assuming the 90 days horizon KENEDIX OFFICE INV is expected to generate 2.09 times more return on investment than ATHENE HOLDING. However, KENEDIX OFFICE is 2.09 times more volatile than ATHENE HOLDING PRFSERC. It trades about 0.17 of its potential returns per unit of risk. ATHENE HOLDING PRFSERC is currently generating about 0.21 per unit of risk. If you would invest 86,000 in KENEDIX OFFICE INV on September 3, 2024 and sell it today you would earn a total of 5,000 from holding KENEDIX OFFICE INV or generate 5.81% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
KENEDIX OFFICE INV vs. ATHENE HOLDING PRFSERC
Performance |
| Timeline |
| KENEDIX OFFICE INV |
| ATHENE HOLDING PRFSERC |
KENEDIX OFFICE and ATHENE HOLDING Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with KENEDIX OFFICE and ATHENE HOLDING
The main advantage of trading using opposite KENEDIX OFFICE and ATHENE HOLDING positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KENEDIX OFFICE position performs unexpectedly, ATHENE HOLDING 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 ATHENE HOLDING will offset losses from the drop in ATHENE HOLDING's long position.| KENEDIX OFFICE vs. MARKET VECTR RETAIL | KENEDIX OFFICE vs. Perdoceo Education | KENEDIX OFFICE vs. TAL Education Group | KENEDIX OFFICE vs. SALESFORCE INC CDR |
| ATHENE HOLDING vs. Berkshire Hathaway | ATHENE HOLDING vs. Allianz SE VNA | ATHENE HOLDING vs. AXA SA | ATHENE HOLDING vs. AXA SA |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
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