Correlation Between KTAM SET and KTAM SET50
Can any of the company-specific risk be diversified away by investing in both KTAM SET and KTAM SET50 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 KTAM SET and KTAM SET50 into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KTAM SET ICT and KTAM SET50 ETF, you can compare the effects of market volatilities on KTAM SET and KTAM SET50 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 KTAM SET with a short position of KTAM SET50. Check out your portfolio center. Please also check ongoing floating volatility patterns of KTAM SET and KTAM SET50.
Diversification Opportunities for KTAM SET and KTAM SET50
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between KTAM and KTAM is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding KTAM SET ICT and KTAM SET50 ETF in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KTAM SET50 ETF and KTAM SET 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 KTAM SET ICT are associated (or correlated) with KTAM SET50. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KTAM SET50 ETF has no effect on the direction of KTAM SET i.e., KTAM SET and KTAM SET50 go up and down completely randomly.
Pair Corralation between KTAM SET and KTAM SET50
If you would invest (100.00) in KTAM SET50 ETF on October 6, 2024 and sell it today you would earn a total of 100.00 from holding KTAM SET50 ETF or generate -100.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
KTAM SET ICT vs. KTAM SET50 ETF
Performance |
Timeline |
KTAM SET ICT |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
KTAM SET50 ETF |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
KTAM SET and KTAM SET50 Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with KTAM SET and KTAM SET50
The main advantage of trading using opposite KTAM SET and KTAM SET50 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KTAM SET position performs unexpectedly, KTAM SET50 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 KTAM SET50 will offset losses from the drop in KTAM SET50's long position.KTAM SET vs. KTAM Gold ETF | KTAM SET vs. United Hero ETF | KTAM SET vs. BCAP SET100 | KTAM SET vs. WISE KTAM CSI |
KTAM SET50 vs. KTAM Gold ETF | KTAM SET50 vs. United Hero ETF | KTAM SET50 vs. BCAP SET100 | KTAM SET50 vs. WISE KTAM CSI |
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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.
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