Correlation Between Kneomedia and Dicker Data
Can any of the company-specific risk be diversified away by investing in both Kneomedia and Dicker Data 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 Kneomedia and Dicker Data into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kneomedia and Dicker Data, you can compare the effects of market volatilities on Kneomedia and Dicker Data 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 Kneomedia with a short position of Dicker Data. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kneomedia and Dicker Data.
Diversification Opportunities for Kneomedia and Dicker Data
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kneomedia and Dicker is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Kneomedia and Dicker Data in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dicker Data and Kneomedia 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 Kneomedia are associated (or correlated) with Dicker Data. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dicker Data has no effect on the direction of Kneomedia i.e., Kneomedia and Dicker Data go up and down completely randomly.
Pair Corralation between Kneomedia and Dicker Data
If you would invest 852.00 in Dicker Data on September 1, 2024 and sell it today you would lose (1.00) from holding Dicker Data or give up 0.12% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kneomedia vs. Dicker Data
Performance |
| Timeline |
| Kneomedia |
| Dicker Data |
Kneomedia and Dicker Data Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kneomedia and Dicker Data
The main advantage of trading using opposite Kneomedia and Dicker Data positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kneomedia position performs unexpectedly, Dicker Data 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 Dicker Data will offset losses from the drop in Dicker Data's long position.| Kneomedia vs. Srj Technologies Group | Kneomedia vs. Dexus Convenience Retail | Kneomedia vs. Hansen Technologies | Kneomedia vs. Super Retail Group |
| Dicker Data vs. K2 Asset Management | Dicker Data vs. Homeco Daily Needs | Dicker Data vs. Home Consortium | Dicker Data vs. Alternative Investment Trust |
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 Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
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