Correlation Between Srinanaporn Marketing and Knight Club
Can any of the company-specific risk be diversified away by investing in both Srinanaporn Marketing and Knight Club 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 Srinanaporn Marketing and Knight Club into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Srinanaporn Marketing Public and Knight Club Capital, you can compare the effects of market volatilities on Srinanaporn Marketing and Knight Club 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 Srinanaporn Marketing with a short position of Knight Club. Check out your portfolio center. Please also check ongoing floating volatility patterns of Srinanaporn Marketing and Knight Club.
Diversification Opportunities for Srinanaporn Marketing and Knight Club
0.74 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Srinanaporn and Knight is 0.74. Overlapping area represents the amount of risk that can be diversified away by holding Srinanaporn Marketing Public and Knight Club Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Knight Club Capital and Srinanaporn Marketing 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 Srinanaporn Marketing Public are associated (or correlated) with Knight Club. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Knight Club Capital has no effect on the direction of Srinanaporn Marketing i.e., Srinanaporn Marketing and Knight Club go up and down completely randomly.
Pair Corralation between Srinanaporn Marketing and Knight Club
Assuming the 90 days trading horizon Srinanaporn Marketing Public is expected to generate 0.72 times more return on investment than Knight Club. However, Srinanaporn Marketing Public is 1.38 times less risky than Knight Club. It trades about -0.11 of its potential returns per unit of risk. Knight Club Capital is currently generating about -0.2 per unit of risk. If you would invest 1,320 in Srinanaporn Marketing Public on September 3, 2024 and sell it today you would lose (120.00) from holding Srinanaporn Marketing Public or give up 9.09% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Srinanaporn Marketing Public vs. Knight Club Capital
Performance |
| Timeline |
| Srinanaporn Marketing |
| Knight Club Capital |
Srinanaporn Marketing and Knight Club Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Srinanaporn Marketing and Knight Club
The main advantage of trading using opposite Srinanaporn Marketing and Knight Club positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Srinanaporn Marketing position performs unexpectedly, Knight Club 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 Knight Club will offset losses from the drop in Knight Club's long position.| Srinanaporn Marketing vs. Kingsmen CMTI Public | Srinanaporn Marketing vs. Hydrotek Public | Srinanaporn Marketing vs. Karmarts Public | Srinanaporn Marketing vs. KC Metalsheet Public |
| Knight Club vs. Jay Mart Public | Knight Club vs. Bioscience Animal Health | Knight Club vs. KCE Electronics Public | Knight Club vs. Sabuy Technology Public |
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.
Other Complementary Tools
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Stocks Directory Find actively traded stocks across global markets | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |