Correlation Between KULR Technology and Flex

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

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

Diversification Opportunities for KULR Technology and Flex

0.66

Correlation Coefficient

KULR Technology  Flex

Poor diversification

The 3 months correlation between KULR and Flex is 0.66. Overlapping area represents the amount of risk that can be diversified away by holding KULR Technology Group and Flex in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Flex and KULR Technology 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 KULR Technology Group are associated (or correlated) with Flex. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Flex has no effect on the direction of KULR Technology i.e., KULR Technology and Flex go up and down completely randomly.

Pair Corralation between KULR Technology and Flex

Given the investment horizon of 90 days KULR Technology is expected to generate 2.25 times less return on investment than Flex. In addition to that, KULR Technology is 2.52 times more volatile than Flex. It trades about 0.12 of its total potential returns per unit of risk. Flex is currently generating about 0.66 per unit of volatility. If you would invest  3,053  in Flex on February 19, 2025 and sell it today you would earn a total of  1,122  from holding Flex or generate 36.75% return on investment over 90 days.

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

KULR Technology Group  vs.  Flex

KULR Technology Group

Risk-Adjusted Performance

Very Weak

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

Flex

Risk-Adjusted Performance

Very Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Flex are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. In spite of fairly strong technical and fundamental indicators, Flex is not utilizing all of its potentials. The recent stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with KULR Technology and Flex

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

The idea behind KULR Technology Group and Flex 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 Bonds Directory module to find actively traded corporate debentures issued by US companies.