Correlation Between Kasikornbank Public and MK Restaurant
Can any of the company-specific risk be diversified away by investing in both Kasikornbank Public and MK Restaurant 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 Kasikornbank Public and MK Restaurant into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kasikornbank Public and MK Restaurant Group, you can compare the effects of market volatilities on Kasikornbank Public and MK Restaurant 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 Kasikornbank Public with a short position of MK Restaurant. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kasikornbank Public and MK Restaurant.
Diversification Opportunities for Kasikornbank Public and MK Restaurant
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kasikornbank and MK Restaurant is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Kasikornbank Public and MK Restaurant Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MK Restaurant Group and Kasikornbank Public 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 Kasikornbank Public are associated (or correlated) with MK Restaurant. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MK Restaurant Group has no effect on the direction of Kasikornbank Public i.e., Kasikornbank Public and MK Restaurant go up and down completely randomly.
Pair Corralation between Kasikornbank Public and MK Restaurant
If you would invest 14,311 in Kasikornbank Public on August 24, 2024 and sell it today you would earn a total of 589.00 from holding Kasikornbank Public or generate 4.12% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Kasikornbank Public vs. MK Restaurant Group
Performance |
| Timeline |
| Kasikornbank Public |
| MK Restaurant Group |
Kasikornbank Public and MK Restaurant Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kasikornbank Public and MK Restaurant
The main advantage of trading using opposite Kasikornbank Public and MK Restaurant positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kasikornbank Public position performs unexpectedly, MK Restaurant 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 MK Restaurant will offset losses from the drop in MK Restaurant's long position.| Kasikornbank Public vs. SCB X Public | Kasikornbank Public vs. Bangkok Bank Public | Kasikornbank Public vs. PTT Public | Kasikornbank Public vs. CP ALL Public |
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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios |