Correlation Between KORE Group and Iqstel

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

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

Diversification Opportunities for KORE Group and Iqstel

0.31

Correlation Coefficient

KORE Group  Iqstel

Weak diversification

The 3 months correlation between KORE and Iqstel is 0.31. Overlapping area represents the amount of risk that can be diversified away by holding KORE Group Holdings and Iqstel Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Iqstel Inc and KORE Group 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 KORE Group Holdings are associated (or correlated) with Iqstel. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Iqstel Inc has no effect on the direction of KORE Group i.e., KORE Group and Iqstel go up and down completely randomly.

Pair Corralation between KORE Group and Iqstel

If you would invest  19.00  in Iqstel Inc on September 12, 2024 and sell it today you would earn a total of  0.00  from holding Iqstel Inc or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	1.59%
Values	Daily Returns

KORE Group Holdings  vs.  Iqstel Inc

KORE Group Holdings

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days KORE Group Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of conflicting performance in the last few months, the Stock's basic indicators remain rather sound which may send shares a bit higher in January 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

Iqstel Inc

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Iqstel Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, Iqstel is not utilizing all of its potentials. The recent stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with KORE Group and Iqstel

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

The idea behind KORE Group Holdings and Iqstel Inc 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.

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 CEOs Directory module to screen CEOs from public companies around the world.