Correlation Between ICF International and Korn Ferry

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

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

Diversification Opportunities for ICF International and Korn Ferry

0.04

Correlation Coefficient

ICF International  Korn Ferry

Significant diversification

The 3 months correlation between ICF and Korn is 0.04. Overlapping area represents the amount of risk that can be diversified away by holding ICF International and Korn Ferry in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Korn Ferry and ICF International 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 ICF International are associated (or correlated) with Korn Ferry. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Korn Ferry has no effect on the direction of ICF International i.e., ICF International and Korn Ferry go up and down completely randomly.

Pair Corralation between ICF International and Korn Ferry

Given the investment horizon of 90 days ICF International is expected to generate 1.62 times less return on investment than Korn Ferry. In addition to that, ICF International is 1.13 times more volatile than Korn Ferry. It trades about 0.05 of its total potential returns per unit of risk. Korn Ferry is currently generating about 0.09 per unit of volatility. If you would invest  6,338  in Korn Ferry on May 6, 2025 and sell it today you would earn a total of  567.00  from holding Korn Ferry or generate 8.95% return on investment over 90 days.

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

ICF International  vs.  Korn Ferry

ICF International

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in ICF International are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite fairly strong technical and fundamental indicators, ICF International is not utilizing all of its potentials. The latest stock price confusion, may contribute to short-horizon losses for the traders.

Korn Ferry

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Korn Ferry are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. In spite of fairly inconsistent technical and fundamental indicators, Korn Ferry may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with ICF International and Korn Ferry

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

The idea behind ICF International and Korn Ferry 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 Anywhere module to track or share privately all of your investments from the convenience of any device.