Correlation Between KB Financial and Cellnex Telecom

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

By analyzing existing cross correlation between KB Financial Group and Cellnex Telecom SA, you can compare the effects of market volatilities on KB Financial and Cellnex Telecom 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 KB Financial with a short position of Cellnex Telecom. Check out your portfolio center. Please also check ongoing floating volatility patterns of KB Financial and Cellnex Telecom.

Diversification Opportunities for KB Financial and Cellnex Telecom

-0.59

Correlation Coefficient

KB Financial  Cellnex Telecom

Excellent diversification

The 3 months correlation between KB Financial and Cellnex is -0.59. Overlapping area represents the amount of risk that can be diversified away by holding KB Financial Group and Cellnex Telecom SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cellnex Telecom SA and KB Financial 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 KB Financial Group are associated (or correlated) with Cellnex Telecom. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cellnex Telecom SA has no effect on the direction of KB Financial i.e., KB Financial and Cellnex Telecom go up and down completely randomly.

Pair Corralation between KB Financial and Cellnex Telecom

Allowing for the 90-day total investment horizon KB Financial Group is expected to generate 1.37 times more return on investment than Cellnex Telecom. However, KB Financial is 1.37 times more volatile than Cellnex Telecom SA. It trades about 0.08 of its potential returns per unit of risk. Cellnex Telecom SA is currently generating about -0.02 per unit of risk. If you would invest  3,833  in KB Financial Group on September 18, 2025 and sell it today you would earn a total of  4,571  from holding KB Financial Group or generate 119.25% return on investment over 90 days.

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

KB Financial Group  vs.  Cellnex Telecom SA

KB Financial Group

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in KB Financial Group are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong fundamental drivers, KB Financial is not utilizing all of its potentials. The newest stock price disturbance, may contribute to short-term losses for the investors.

Cellnex Telecom SA

Risk-Adjusted Performance

Weakest

Over the last 90 days Cellnex Telecom SA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fragile performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in January 2026. The current disturbance may also be a sign of long term up-swing for the company investors.

Pair Trading with KB Financial and Cellnex Telecom

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

The idea behind KB Financial Group and Cellnex Telecom SA 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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.