Correlation Between Woori Financial and Green PolkaDot
Can any of the company-specific risk be diversified away by investing in both Woori Financial and Green PolkaDot 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 Woori Financial and Green PolkaDot into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Woori Financial Group and Green PolkaDot Box, you can compare the effects of market volatilities on Woori Financial and Green PolkaDot 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 Woori Financial with a short position of Green PolkaDot. Check out your portfolio center. Please also check ongoing floating volatility patterns of Woori Financial and Green PolkaDot.
Diversification Opportunities for Woori Financial and Green PolkaDot
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Woori and Green is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Woori Financial Group and Green PolkaDot Box in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Green PolkaDot Box and Woori 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 Woori Financial Group are associated (or correlated) with Green PolkaDot. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Green PolkaDot Box has no effect on the direction of Woori Financial i.e., Woori Financial and Green PolkaDot go up and down completely randomly.
Pair Corralation between Woori Financial and Green PolkaDot
If you would invest 3,397 in Woori Financial Group on September 5, 2024 and sell it today you would earn a total of 135.00 from holding Woori Financial Group or generate 3.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Woori Financial Group vs. Green PolkaDot Box
Performance |
| Timeline |
| Woori Financial Group |
| Green PolkaDot Box |
Woori Financial and Green PolkaDot Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Woori Financial and Green PolkaDot
The main advantage of trading using opposite Woori Financial and Green PolkaDot positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Woori Financial position performs unexpectedly, Green PolkaDot 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 Green PolkaDot will offset losses from the drop in Green PolkaDot's long position.| Woori Financial vs. Banco Santander Brasil | Woori Financial vs. CrossFirst Bankshares | Woori Financial vs. Banco Bradesco SA | Woori Financial vs. CF Bankshares |
| Green PolkaDot vs. Federal National Mortgage | Green PolkaDot vs. Shinhan Financial Group | Green PolkaDot vs. Woori Financial Group | Green PolkaDot vs. Grupo Aval |
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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA |