Correlation Between Kasten and Gold Ent

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

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

Diversification Opportunities for Kasten and Gold Ent

-0.23

Correlation Coefficient

Kasten  Gold Ent

Very good diversification

The 3 months correlation between Kasten and Gold is -0.23. Overlapping area represents the amount of risk that can be diversified away by holding Kasten Inc and Gold Ent Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gold Ent Group and Kasten 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 Kasten Inc are associated (or correlated) with Gold Ent. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gold Ent Group has no effect on the direction of Kasten i.e., Kasten and Gold Ent go up and down completely randomly.

Pair Corralation between Kasten and Gold Ent

Given the investment horizon of 90 days Kasten Inc is expected to generate 20.92 times more return on investment than Gold Ent. However, Kasten is 20.92 times more volatile than Gold Ent Group. It trades about 0.12 of its potential returns per unit of risk. Gold Ent Group is currently generating about -0.13 per unit of risk. If you would invest  560.00  in Kasten Inc on May 6, 2025 and sell it today you would lose (368.00) from holding Kasten Inc or give up 65.71% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	93.65%
Values	Daily Returns

Kasten Inc  vs.  Gold Ent Group

Kasten Inc

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Kasten Inc are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak basic indicators, Kasten unveiled solid returns over the last few months and may actually be approaching a breakup point.

Gold Ent Group

Risk-Adjusted Performance

Very Weak

Over the last 90 days Gold Ent Group has generated negative risk-adjusted returns adding no value to investors with long positions. Even with weak performance in the last few months, the Stock's technical and fundamental indicators remain relatively invariable which may send shares a bit higher in September 2025. The latest agitation may also be a sign of long-running up-swing for the enterprise retail investors.

Pair Trading with Kasten and Gold Ent

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

The idea behind Kasten Inc and Gold Ent Group 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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.