Correlation Between Shinhan Financial and Qrons
Can any of the company-specific risk be diversified away by investing in both Shinhan Financial and Qrons 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 Shinhan Financial and Qrons into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Shinhan Financial Group and Qrons Inc, you can compare the effects of market volatilities on Shinhan Financial and Qrons 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 Shinhan Financial with a short position of Qrons. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shinhan Financial and Qrons.
Diversification Opportunities for Shinhan Financial and Qrons
-0.82 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Shinhan and Qrons is -0.82. Overlapping area represents the amount of risk that can be diversified away by holding Shinhan Financial Group and Qrons Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Qrons Inc and Shinhan Financial 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 Shinhan Financial Group are associated (or correlated) with Qrons. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Qrons Inc has no effect on the direction of Shinhan Financial i.e., Shinhan Financial and Qrons go up and down completely randomly.
Pair Corralation between Shinhan Financial and Qrons
Considering the 90-day investment horizon Shinhan Financial Group is expected to generate 1.02 times more return on investment than Qrons. However, Shinhan Financial is 1.02 times more volatile than Qrons Inc. It trades about 0.22 of its potential returns per unit of risk. Qrons Inc is currently generating about -0.21 per unit of risk. If you would invest 3,328 in Shinhan Financial Group on November 4, 2024 and sell it today you would earn a total of 174.00 from holding Shinhan Financial Group or generate 5.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 90.91% |
| Values | Daily Returns |
Shinhan Financial Group vs. Qrons Inc
Performance |
| Timeline |
| Shinhan Financial |
| Qrons Inc |
Shinhan Financial and Qrons Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shinhan Financial and Qrons
The main advantage of trading using opposite Shinhan Financial and Qrons positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shinhan Financial position performs unexpectedly, Qrons 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 Qrons will offset losses from the drop in Qrons' long position.| Shinhan Financial vs. Community West Bancshares | Shinhan Financial vs. First Financial Northwest | Shinhan Financial vs. Ponce Financial Group | Shinhan Financial vs. Finwise Bancorp |
| Qrons vs. Northwest Biotherapeutics | Qrons vs. Geron | Qrons vs. Advanced Proteome Therapeutics | Qrons vs. Oxford BioDynamics Plc |
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 Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Other Complementary Tools
| CEOs Directory Screen CEOs from public companies around the world | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |