Correlation Between Kaspi Bank and Oncorus

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

By analyzing existing cross correlation between Kaspi Bank Joint and Oncorus, you can compare the effects of market volatilities on Kaspi Bank and Oncorus 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 Kaspi Bank with a short position of Oncorus. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kaspi Bank and Oncorus.

Diversification Opportunities for Kaspi Bank and Oncorus

-0.48

Correlation Coefficient

Kaspi Bank  Oncorus

Very good diversification

The 3 months correlation between Kaspi and Oncorus is -0.48. Overlapping area represents the amount of risk that can be diversified away by holding Kaspi Bank Joint and Oncorus in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oncorus and Kaspi Bank 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 Kaspi Bank Joint are associated (or correlated) with Oncorus. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oncorus has no effect on the direction of Kaspi Bank i.e., Kaspi Bank and Oncorus go up and down completely randomly.

Pair Corralation between Kaspi Bank and Oncorus

If you would invest  4.35  in Oncorus on August 31, 2024 and sell it today you would earn a total of  0.00  from holding Oncorus or generate 0.0% return on investment over 90 days.

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

Kaspi Bank Joint  vs.  Oncorus

Kaspi Bank Joint

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Kaspi Bank Joint has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, Kaspi Bank is not utilizing all of its potentials. The newest stock price disturbance, may contribute to mid-run losses for the stockholders.

Oncorus

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Oncorus has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable fundamental indicators, Oncorus is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Kaspi Bank and Oncorus

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

The idea behind Kaspi Bank Joint and Oncorus 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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.