Correlation Between Kaiser Aluminum and Stereo Vision

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

By analyzing existing cross correlation between Kaiser Aluminum and Stereo Vision Entertainment, you can compare the effects of market volatilities on Kaiser Aluminum and Stereo Vision 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 Kaiser Aluminum with a short position of Stereo Vision. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kaiser Aluminum and Stereo Vision.

Diversification Opportunities for Kaiser Aluminum and Stereo Vision

0.0

Correlation Coefficient

Kaiser Aluminum  Stereo Vision

Pay attention - limited upside

The 3 months correlation between Kaiser and Stereo is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Kaiser Aluminum and Stereo Vision Entertainment in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Stereo Vision Entert and Kaiser Aluminum 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 Kaiser Aluminum are associated (or correlated) with Stereo Vision. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Stereo Vision Entert has no effect on the direction of Kaiser Aluminum i.e., Kaiser Aluminum and Stereo Vision go up and down completely randomly.

Pair Corralation between Kaiser Aluminum and Stereo Vision

If you would invest  6,705  in Kaiser Aluminum on May 6, 2025 and sell it today you would earn a total of  680.00  from holding Kaiser Aluminum or generate 10.14% return on investment over 90 days.

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

Kaiser Aluminum  vs.  Stereo Vision Entertainment

Kaiser Aluminum

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Kaiser Aluminum are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively unsteady essential indicators, Kaiser Aluminum may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Stereo Vision Entert

Risk-Adjusted Performance

Very Weak

Over the last 90 days Stereo Vision Entertainment has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy basic indicators, Stereo Vision is not utilizing all of its potentials. The new stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with Kaiser Aluminum and Stereo Vision

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

The idea behind Kaiser Aluminum and Stereo Vision Entertainment 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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.