Correlation Between KraneShares MSCI and KraneShares
Can any of the company-specific risk be diversified away by investing in both KraneShares MSCI and KraneShares 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 KraneShares MSCI and KraneShares into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KraneShares MSCI China and KraneShares, you can compare the effects of market volatilities on KraneShares MSCI and KraneShares 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 KraneShares MSCI with a short position of KraneShares. Check out your portfolio center. Please also check ongoing floating volatility patterns of KraneShares MSCI and KraneShares.
Diversification Opportunities for KraneShares MSCI and KraneShares
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between KraneShares and KraneShares is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding KraneShares MSCI China and KraneShares in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KraneShares and KraneShares MSCI 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 KraneShares MSCI China are associated (or correlated) with KraneShares. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KraneShares has no effect on the direction of KraneShares MSCI i.e., KraneShares MSCI and KraneShares go up and down completely randomly.
Pair Corralation between KraneShares MSCI and KraneShares
If you would invest 2,203 in KraneShares MSCI China on November 3, 2024 and sell it today you would earn a total of 64.40 from holding KraneShares MSCI China or generate 2.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 4.76% |
| Values | Daily Returns |
KraneShares MSCI China vs. KraneShares
Performance |
| Timeline |
| KraneShares MSCI China |
| KraneShares |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
KraneShares MSCI and KraneShares Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with KraneShares MSCI and KraneShares
The main advantage of trading using opposite KraneShares MSCI and KraneShares positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KraneShares MSCI position performs unexpectedly, KraneShares 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 KraneShares will offset losses from the drop in KraneShares' long position.| KraneShares MSCI vs. KraneShares MSCI All | KraneShares MSCI vs. Global X MSCI | KraneShares MSCI vs. WisdomTree China ex State Owned |
| KraneShares vs. KraneShares Emerging Markets | KraneShares vs. KraneShares MSCI All | KraneShares vs. KraneShares MSCI All |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |