Correlation Between KYN Capital and Regen BioPharma
Can any of the company-specific risk be diversified away by investing in both KYN Capital and Regen BioPharma 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 KYN Capital and Regen BioPharma into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KYN Capital Group and Regen BioPharma, you can compare the effects of market volatilities on KYN Capital and Regen BioPharma 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 KYN Capital with a short position of Regen BioPharma. Check out your portfolio center. Please also check ongoing floating volatility patterns of KYN Capital and Regen BioPharma.
Diversification Opportunities for KYN Capital and Regen BioPharma
0.48 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between KYN and Regen is 0.48. Overlapping area represents the amount of risk that can be diversified away by holding KYN Capital Group and Regen BioPharma in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Regen BioPharma and KYN Capital 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 KYN Capital Group are associated (or correlated) with Regen BioPharma. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Regen BioPharma has no effect on the direction of KYN Capital i.e., KYN Capital and Regen BioPharma go up and down completely randomly.
Pair Corralation between KYN Capital and Regen BioPharma
Given the investment horizon of 90 days KYN Capital Group is expected to generate 0.99 times more return on investment than Regen BioPharma. However, KYN Capital Group is 1.01 times less risky than Regen BioPharma. It trades about 0.01 of its potential returns per unit of risk. Regen BioPharma is currently generating about -0.03 per unit of risk. If you would invest 0.06 in KYN Capital Group on November 4, 2024 and sell it today you would lose (0.01) from holding KYN Capital Group or give up 16.67% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 90.91% |
| Values | Daily Returns |
KYN Capital Group vs. Regen BioPharma
Performance |
| Timeline |
| KYN Capital Group |
| Regen BioPharma |
KYN Capital and Regen BioPharma Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with KYN Capital and Regen BioPharma
The main advantage of trading using opposite KYN Capital and Regen BioPharma positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KYN Capital position performs unexpectedly, Regen BioPharma 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 Regen BioPharma will offset losses from the drop in Regen BioPharma's long position.| KYN Capital vs. Capital Financial Gl | KYN Capital vs. Baron Capital | KYN Capital vs. CYIOS | KYN Capital vs. Cosmos Group Holdings |
| Regen BioPharma vs. Oncology Pharma | Regen BioPharma vs. Creative Medical Technology | Regen BioPharma vs. Therasense | Regen BioPharma vs. Enzolytics |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
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