Correlation Between Kinetics Market and Great-west Core
Can any of the company-specific risk be diversified away by investing in both Kinetics Market and Great-west Core 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 Kinetics Market and Great-west Core into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kinetics Market Opportunities and Great West E Bond, you can compare the effects of market volatilities on Kinetics Market and Great-west Core 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 Kinetics Market with a short position of Great-west Core. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kinetics Market and Great-west Core.
Diversification Opportunities for Kinetics Market and Great-west Core
-0.81 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kinetics and Great-west is -0.81. Overlapping area represents the amount of risk that can be diversified away by holding Kinetics Market Opportunities and Great West E Bond in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Great-west Core and Kinetics Market 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 Kinetics Market Opportunities are associated (or correlated) with Great-west Core. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Great-west Core has no effect on the direction of Kinetics Market i.e., Kinetics Market and Great-west Core go up and down completely randomly.
Pair Corralation between Kinetics Market and Great-west Core
Assuming the 90 days horizon Kinetics Market Opportunities is expected to generate 3.63 times more return on investment than Great-west Core. However, Kinetics Market is 3.63 times more volatile than Great West E Bond. It trades about 0.1 of its potential returns per unit of risk. Great West E Bond is currently generating about 0.03 per unit of risk. If you would invest 4,561 in Kinetics Market Opportunities on September 3, 2024 and sell it today you would earn a total of 4,408 from holding Kinetics Market Opportunities or generate 96.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kinetics Market Opportunities vs. Great West E Bond
Performance |
| Timeline |
| Kinetics Market Oppo |
| Great-west Core |
Kinetics Market and Great-west Core Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kinetics Market and Great-west Core
The main advantage of trading using opposite Kinetics Market and Great-west Core positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kinetics Market position performs unexpectedly, Great-west Core 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 Great-west Core will offset losses from the drop in Great-west Core's long position.| Kinetics Market vs. Angel Oak Multi Strategy | Kinetics Market vs. Commodities Strategy Fund | Kinetics Market vs. T Rowe Price | Kinetics Market vs. Templeton Emerging Markets |
| Great-west Core vs. Mondrian Emerging Markets | Great-west Core vs. Jpmorgan Emerging Markets | Great-west Core vs. Kinetics Market Opportunities | Great-west Core vs. Shelton Emerging Markets |
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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data |