Correlation Between Kasikornbank Public and Delhi Bank
Can any of the company-specific risk be diversified away by investing in both Kasikornbank Public and Delhi Bank 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 Kasikornbank Public and Delhi Bank into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kasikornbank Public Co and Delhi Bank Corp, you can compare the effects of market volatilities on Kasikornbank Public and Delhi Bank 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 Kasikornbank Public with a short position of Delhi Bank. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kasikornbank Public and Delhi Bank.
Diversification Opportunities for Kasikornbank Public and Delhi Bank
-0.17 | Correlation Coefficient |
Good diversification
The 3 months correlation between Kasikornbank and Delhi is -0.17. Overlapping area represents the amount of risk that can be diversified away by holding Kasikornbank Public Co and Delhi Bank Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Delhi Bank Corp and Kasikornbank Public 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 Kasikornbank Public Co are associated (or correlated) with Delhi Bank. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Delhi Bank Corp has no effect on the direction of Kasikornbank Public i.e., Kasikornbank Public and Delhi Bank go up and down completely randomly.
Pair Corralation between Kasikornbank Public and Delhi Bank
Assuming the 90 days horizon Kasikornbank Public Co is expected to generate 12.54 times more return on investment than Delhi Bank. However, Kasikornbank Public is 12.54 times more volatile than Delhi Bank Corp. It trades about 0.03 of its potential returns per unit of risk. Delhi Bank Corp is currently generating about 0.0 per unit of risk. If you would invest 1,694 in Kasikornbank Public Co on August 25, 2024 and sell it today you would earn a total of 46.00 from holding Kasikornbank Public Co or generate 2.72% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.44% |
| Values | Daily Returns |
Kasikornbank Public Co vs. Delhi Bank Corp
Performance |
| Timeline |
| Kasikornbank Public |
| Delhi Bank Corp |
Kasikornbank Public and Delhi Bank Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kasikornbank Public and Delhi Bank
The main advantage of trading using opposite Kasikornbank Public and Delhi Bank positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kasikornbank Public position performs unexpectedly, Delhi Bank 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 Delhi Bank will offset losses from the drop in Delhi Bank's long position.| Kasikornbank Public vs. Turkiye Garanti Bankasi | Kasikornbank Public vs. Hang Seng Bank | Kasikornbank Public vs. PT Bank Rakyat | Kasikornbank Public vs. Delhi Bank Corp |
| Delhi Bank vs. Standard Bank Group | Delhi Bank vs. PSB Holdings | Delhi Bank vs. United Overseas Bank | Delhi Bank vs. Turkiye Garanti Bankasi |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |