Correlation Between Kibush Capital and Bm Technologies

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Kibush Capital and Bm Technologies 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 Kibush Capital and Bm Technologies into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kibush Capital Corp and Bm Technologies, you can compare the effects of market volatilities on Kibush Capital and Bm Technologies 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 Kibush Capital with a short position of Bm Technologies. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kibush Capital and Bm Technologies.

Diversification Opportunities for Kibush Capital and Bm Technologies

0.01
  Correlation Coefficient

Significant diversification

The 3 months correlation between Kibush and Bm Technologies is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding Kibush Capital Corp and Bm Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bm Technologies and Kibush Capital 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 Kibush Capital Corp are associated (or correlated) with Bm Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bm Technologies has no effect on the direction of Kibush Capital i.e., Kibush Capital and Bm Technologies go up and down completely randomly.

Pair Corralation between Kibush Capital and Bm Technologies

Given the investment horizon of 90 days Kibush Capital Corp is expected to generate 4.56 times more return on investment than Bm Technologies. However, Kibush Capital is 4.56 times more volatile than Bm Technologies. It trades about 0.02 of its potential returns per unit of risk. Bm Technologies is currently generating about -0.09 per unit of risk. If you would invest  0.05  in Kibush Capital Corp on August 31, 2022 and sell it today you would lose (0.02)  from holding Kibush Capital Corp or give up 40.0% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthInsignificant
Accuracy97.62%
ValuesDaily Returns

Kibush Capital Corp  vs.  Bm Technologies

 Performance (%) 
       Timeline  
Kibush Capital Corp 
Kibush Performance
1 of 100
Compared to the overall equity markets, risk-adjusted returns on investments in Kibush Capital Corp are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Even with relatively weak fundamental indicators, Kibush Capital reported solid returns over the last few months and may actually be approaching a breakup point.

Kibush Price Channel

Bm Technologies 
Bm Technologies Performance
0 of 100
Over the last 90 days Bm Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest sluggish performance, the Stock's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the company investors.

Bm Technologies Price Channel

Kibush Capital and Bm Technologies Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Kibush Capital and Bm Technologies

The main advantage of trading using opposite Kibush Capital and Bm Technologies positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kibush Capital position performs unexpectedly, Bm Technologies 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 Bm Technologies will offset losses from the drop in Bm Technologies' long position.
Kibush Capital vs. Netflix
The idea behind Kibush Capital Corp and Bm Technologies 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.
Bm Technologies vs. Salesforce
Bm Technologies vs. Snowflake Inc Cl
Bm Technologies vs. Intuit Inc
Bm Technologies vs. Cadence Design Sys
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.

Other Complementary Tools

Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios
Go
Stock Tickers
Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites
Go
Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios
Go
Volatility Analysis
Get historical volatility and risk analysis based on latest market data
Go
Aroon Oscillator
Analyze current equity momentum using Aroon Oscillator and other momentum ratios
Go
Stock Tickers
Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites
Go