Correlation Between Kuehne + and Deutsche Post
Can any of the company-specific risk be diversified away by investing in both Kuehne + and Deutsche Post 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 Kuehne + and Deutsche Post into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kuehne Nagel International and Deutsche Post AG, you can compare the effects of market volatilities on Kuehne + and Deutsche Post 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 Kuehne + with a short position of Deutsche Post. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kuehne + and Deutsche Post.
Diversification Opportunities for Kuehne + and Deutsche Post
-0.74 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kuehne and Deutsche is -0.74. Overlapping area represents the amount of risk that can be diversified away by holding Kuehne Nagel International and Deutsche Post AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Deutsche Post AG and Kuehne + 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 Kuehne Nagel International are associated (or correlated) with Deutsche Post. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Deutsche Post AG has no effect on the direction of Kuehne + i.e., Kuehne + and Deutsche Post go up and down completely randomly.
Pair Corralation between Kuehne + and Deutsche Post
If you would invest 5,163 in Deutsche Post AG on August 28, 2024 and sell it today you would earn a total of 0.00 from holding Deutsche Post AG or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 4.76% |
| Values | Daily Returns |
Kuehne Nagel International vs. Deutsche Post AG
Performance |
| Timeline |
| Kuehne Nagel Interna |
| Deutsche Post AG |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Kuehne + and Deutsche Post Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kuehne + and Deutsche Post
The main advantage of trading using opposite Kuehne + and Deutsche Post positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kuehne + position performs unexpectedly, Deutsche Post 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 Deutsche Post will offset losses from the drop in Deutsche Post's long position.| Kuehne + vs. DSV Panalpina AS | Kuehne + vs. CH Robinson Worldwide | Kuehne + vs. Kuehne Nagel International | Kuehne + vs. DSV Panalpina AS |
| Deutsche Post vs. DSV Panalpina AS | Deutsche Post vs. FedEx | Deutsche Post vs. United Parcel Service | Deutsche Post vs. Kuehne Nagel International |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
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