Correlation Between KORE Group and VEON
Can any of the company-specific risk be diversified away by investing in both KORE Group and VEON 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 KORE Group and VEON into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KORE Group Holdings and VEON, you can compare the effects of market volatilities on KORE Group and VEON 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 KORE Group with a short position of VEON. Check out your portfolio center. Please also check ongoing floating volatility patterns of KORE Group and VEON.
Diversification Opportunities for KORE Group and VEON
-0.76 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between KORE and VEON is -0.76. Overlapping area represents the amount of risk that can be diversified away by holding KORE Group Holdings and VEON in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on VEON and KORE Group 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 KORE Group Holdings are associated (or correlated) with VEON. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of VEON has no effect on the direction of KORE Group i.e., KORE Group and VEON go up and down completely randomly.
Pair Corralation between KORE Group and VEON
Given the investment horizon of 90 days KORE Group Holdings is expected to under-perform the VEON. In addition to that, KORE Group is 2.59 times more volatile than VEON. It trades about -0.09 of its total potential returns per unit of risk. VEON is currently generating about 0.12 per unit of volatility. If you would invest 3,074 in VEON on August 28, 2024 and sell it today you would earn a total of 177.00 from holding VEON or generate 5.76% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
KORE Group Holdings vs. VEON
Performance |
| Timeline |
| KORE Group Holdings |
| VEON |
KORE Group and VEON Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with KORE Group and VEON
The main advantage of trading using opposite KORE Group and VEON positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KORE Group position performs unexpectedly, VEON 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 VEON will offset losses from the drop in VEON's long position.| KORE Group vs. Liberty Broadband Srs | KORE Group vs. Cable One | KORE Group vs. Liberty Broadband Corp | KORE Group vs. Telkom Indonesia Tbk |
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 Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments |