Correlation Between Kerry Logistics and Marchex
Can any of the company-specific risk be diversified away by investing in both Kerry Logistics and Marchex 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 Kerry Logistics and Marchex into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kerry Logistics Network and Marchex, you can compare the effects of market volatilities on Kerry Logistics and Marchex 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 Kerry Logistics with a short position of Marchex. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kerry Logistics and Marchex.
Diversification Opportunities for Kerry Logistics and Marchex
0.06 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Kerry and Marchex is 0.06. Overlapping area represents the amount of risk that can be diversified away by holding Kerry Logistics Network and Marchex in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Marchex and Kerry Logistics 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 Kerry Logistics Network are associated (or correlated) with Marchex. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Marchex has no effect on the direction of Kerry Logistics i.e., Kerry Logistics and Marchex go up and down completely randomly.
Pair Corralation between Kerry Logistics and Marchex
If you would invest 186.00 in Marchex on September 13, 2024 and sell it today you would earn a total of 30.00 from holding Marchex or generate 16.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 97.67% |
| Values | Daily Returns |
Kerry Logistics Network vs. Marchex
Performance |
| Timeline |
| Kerry Logistics Network |
| Marchex |
Kerry Logistics and Marchex Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kerry Logistics and Marchex
The main advantage of trading using opposite Kerry Logistics and Marchex positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kerry Logistics position performs unexpectedly, Marchex 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 Marchex will offset losses from the drop in Marchex's long position.| Kerry Logistics vs. Marchex | Kerry Logistics vs. JetBlue Airways Corp | Kerry Logistics vs. Air Transport Services | Kerry Logistics vs. American Airlines Group |
| Marchex vs. Entravision Communications | Marchex vs. Direct Digital Holdings | Marchex vs. Cimpress NV | Marchex vs. Townsquare Media |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |