Correlation Between Oceantech Acquisitions and Amkor Technology
Can any of the company-specific risk be diversified away by investing in both Oceantech Acquisitions and Amkor Technology 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 Oceantech Acquisitions and Amkor Technology into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oceantech Acquisitions I and Amkor Technology, you can compare the effects of market volatilities on Oceantech Acquisitions and Amkor Technology 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 Oceantech Acquisitions with a short position of Amkor Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oceantech Acquisitions and Amkor Technology.
Diversification Opportunities for Oceantech Acquisitions and Amkor Technology
-0.6 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Oceantech and Amkor is -0.6. Overlapping area represents the amount of risk that can be diversified away by holding Oceantech Acquisitions I and Amkor Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amkor Technology and Oceantech Acquisitions 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 Oceantech Acquisitions I are associated (or correlated) with Amkor Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amkor Technology has no effect on the direction of Oceantech Acquisitions i.e., Oceantech Acquisitions and Amkor Technology go up and down completely randomly.
Pair Corralation between Oceantech Acquisitions and Amkor Technology
If you would invest 1,069 in Oceantech Acquisitions I on September 13, 2024 and sell it today you would earn a total of 0.00 from holding Oceantech Acquisitions I or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 0.8% |
| Values | Daily Returns |
Oceantech Acquisitions I vs. Amkor Technology
Performance |
| Timeline |
| Oceantech Acquisitions |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Amkor Technology |
Oceantech Acquisitions and Amkor Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oceantech Acquisitions and Amkor Technology
The main advantage of trading using opposite Oceantech Acquisitions and Amkor Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oceantech Acquisitions position performs unexpectedly, Amkor Technology 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 Amkor Technology will offset losses from the drop in Amkor Technology's long position.| Oceantech Acquisitions vs. Univest Pennsylvania | Oceantech Acquisitions vs. Pintec Technology Holdings | Oceantech Acquisitions vs. Precision Drilling | Oceantech Acquisitions vs. Artisan Partners Asset |
| Amkor Technology vs. Power Integrations | Amkor Technology vs. Diodes Incorporated | Amkor Technology vs. MACOM Technology Solutions | Amkor Technology vs. Cirrus Logic |
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.
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