Correlation Between Kinea Hedge and FDO INV
Can any of the company-specific risk be diversified away by investing in both Kinea Hedge and FDO INV 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 Kinea Hedge and FDO INV into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kinea Hedge Fund and FDO INV IMOB, you can compare the effects of market volatilities on Kinea Hedge and FDO INV 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 Kinea Hedge with a short position of FDO INV. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kinea Hedge and FDO INV.
Diversification Opportunities for Kinea Hedge and FDO INV
-0.66 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Kinea and FDO is -0.66. Overlapping area represents the amount of risk that can be diversified away by holding Kinea Hedge Fund and FDO INV IMOB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FDO INV IMOB and Kinea Hedge 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 Kinea Hedge Fund are associated (or correlated) with FDO INV. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FDO INV IMOB has no effect on the direction of Kinea Hedge i.e., Kinea Hedge and FDO INV go up and down completely randomly.
Pair Corralation between Kinea Hedge and FDO INV
Assuming the 90 days trading horizon Kinea Hedge Fund is expected to under-perform the FDO INV. In addition to that, Kinea Hedge is 17.42 times more volatile than FDO INV IMOB. It trades about -0.57 of its total potential returns per unit of risk. FDO INV IMOB is currently generating about 0.22 per unit of volatility. If you would invest 144,650 in FDO INV IMOB on September 13, 2024 and sell it today you would earn a total of 350.00 from holding FDO INV IMOB or generate 0.24% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kinea Hedge Fund vs. FDO INV IMOB
Performance |
| Timeline |
| Kinea Hedge Fund |
| FDO INV IMOB |
Kinea Hedge and FDO INV Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kinea Hedge and FDO INV
The main advantage of trading using opposite Kinea Hedge and FDO INV positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kinea Hedge position performs unexpectedly, FDO INV 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 FDO INV will offset losses from the drop in FDO INV's long position.| Kinea Hedge vs. BTG Pactual Logstica | Kinea Hedge vs. Plano Plano Desenvolvimento | Kinea Hedge vs. Companhia Habitasul de | Kinea Hedge vs. FDO INV IMOB |
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
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |