Correlation Between KB Financial and BigBearai Holdings,

Can any of the company-specific risk be diversified away by investing in both KB Financial and BigBearai Holdings, 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 KB Financial and BigBearai Holdings, into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between KB Financial Group and BigBearai Holdings, WT, you can compare the effects of market volatilities on KB Financial and BigBearai Holdings, 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 KB Financial with a short position of BigBearai Holdings,. Check out your portfolio center. Please also check ongoing floating volatility patterns of KB Financial and BigBearai Holdings,.

Diversification Opportunities for KB Financial and BigBearai Holdings,

-0.11

Correlation Coefficient

KB Financial  BigBearai Holdings,

Good diversification

The 3 months correlation between KB Financial and BigBearai is -0.11. Overlapping area represents the amount of risk that can be diversified away by holding KB Financial Group and BigBearai Holdings, WT in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BigBearai Holdings, and KB 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 KB Financial Group are associated (or correlated) with BigBearai Holdings,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BigBearai Holdings, has no effect on the direction of KB Financial i.e., KB Financial and BigBearai Holdings, go up and down completely randomly.

Pair Corralation between KB Financial and BigBearai Holdings,

Allowing for the 90-day total investment horizon KB Financial Group is expected to under-perform the BigBearai Holdings,. But the stock apears to be less risky and, when comparing its historical volatility, KB Financial Group is 10.97 times less risky than BigBearai Holdings,. The stock trades about -0.03 of its potential returns per unit of risk. The BigBearai Holdings, WT is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest  137.00  in BigBearai Holdings, WT on December 25, 2024 and sell it today you would lose (33.00) from holding BigBearai Holdings, WT or give up 24.09% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

KB Financial Group  vs.  BigBearai Holdings, WT

KB Financial Group

Risk-Adjusted Performance

Very Weak

Over the last 90 days KB Financial Group has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong fundamental drivers, KB Financial is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

BigBearai Holdings,

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in BigBearai Holdings, WT are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain basic indicators, BigBearai Holdings, unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with KB Financial and BigBearai Holdings,

The main advantage of trading using opposite KB Financial and BigBearai Holdings, positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KB Financial position performs unexpectedly, BigBearai Holdings, 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 BigBearai Holdings, will offset losses from the drop in BigBearai Holdings,'s long position.

The idea behind KB Financial Group and BigBearai Holdings, WT pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 File Import module to quickly import all of your third-party portfolios from your local drive in csv format.