Correlation Between KB Financial and Network Media
Can any of the company-specific risk be diversified away by investing in both KB Financial and Network Media 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 KB Financial and Network Media into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KB Financial Group and Network Media Group, you can compare the effects of market volatilities on KB Financial and Network Media 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 KB Financial with a short position of Network Media. Check out your portfolio center. Please also check ongoing floating volatility patterns of KB Financial and Network Media.
Diversification Opportunities for KB Financial and Network Media
-0.29 | Correlation Coefficient |
Very good diversification
The 3 months correlation between KB Financial and Network is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding KB Financial Group and Network Media Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Network Media Group and KB Financial 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 KB Financial Group are associated (or correlated) with Network Media. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Network Media Group has no effect on the direction of KB Financial i.e., KB Financial and Network Media go up and down completely randomly.
Pair Corralation between KB Financial and Network Media
Allowing for the 90-day total investment horizon KB Financial Group is expected to generate 0.38 times more return on investment than Network Media. However, KB Financial Group is 2.6 times less risky than Network Media. It trades about 0.14 of its potential returns per unit of risk. Network Media Group is currently generating about 0.02 per unit of risk. If you would invest 8,169 in KB Financial Group on October 28, 2025 and sell it today you would earn a total of 1,283 from holding KB Financial Group or generate 15.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.41% |
| Values | Daily Returns |
KB Financial Group vs. Network Media Group
Performance |
| Timeline |
| KB Financial Group |
| Network Media Group |
KB Financial and Network Media Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with KB Financial and Network Media
The main advantage of trading using opposite KB Financial and Network Media positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KB Financial position performs unexpectedly, Network Media 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 Network Media will offset losses from the drop in Network Media's long position.| KB Financial vs. Truist Financial Corp | KB Financial vs. Banco Bradesco SA | KB Financial vs. Shinhan Financial Group | KB Financial vs. MT Bank |
| Network Media vs. HeadsUp Entertainment International | Network Media vs. Big Screen Entertainment | Network Media vs. Farmhouse | Network Media vs. Legible |
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 Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Other Complementary Tools
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| AI Portfolio Prophet Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |