Correlation Between Truecaller and Klimator
Can any of the company-specific risk be diversified away by investing in both Truecaller and Klimator 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 Truecaller and Klimator into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Truecaller AB and Klimator AB, you can compare the effects of market volatilities on Truecaller and Klimator 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 Truecaller with a short position of Klimator. Check out your portfolio center. Please also check ongoing floating volatility patterns of Truecaller and Klimator.
Diversification Opportunities for Truecaller and Klimator
0.28 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Truecaller and Klimator is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding Truecaller AB and Klimator AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Klimator AB and Truecaller 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 Truecaller AB are associated (or correlated) with Klimator. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Klimator AB has no effect on the direction of Truecaller i.e., Truecaller and Klimator go up and down completely randomly.
Pair Corralation between Truecaller and Klimator
Assuming the 90 days trading horizon Truecaller AB is expected to generate 0.91 times more return on investment than Klimator. However, Truecaller AB is 1.1 times less risky than Klimator. It trades about 0.08 of its potential returns per unit of risk. Klimator AB is currently generating about 0.08 per unit of risk. If you would invest 3,274 in Truecaller AB on September 4, 2024 and sell it today you would earn a total of 1,926 from holding Truecaller AB or generate 58.83% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Truecaller AB vs. Klimator AB
Performance |
| Timeline |
| Truecaller AB |
| Klimator AB |
Truecaller and Klimator Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Truecaller and Klimator
The main advantage of trading using opposite Truecaller and Klimator positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Truecaller position performs unexpectedly, Klimator 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 Klimator will offset losses from the drop in Klimator's long position.| Truecaller vs. Sinch AB | Truecaller vs. Hexatronic Group AB | Truecaller vs. Samhllsbyggnadsbolaget i Norden | Truecaller vs. Storskogen Group AB |
| Klimator vs. Nordic Asia Investment | Klimator vs. Lundin Mining | Klimator vs. Catena Media plc | Klimator vs. Invisio Communications AB |
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 Money Managers module to screen money managers from public funds and ETFs managed around the world.
Other Complementary Tools
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes |