Correlation Between Kingsoft Cloud and XIAO I
Can any of the company-specific risk be diversified away by investing in both Kingsoft Cloud and XIAO I 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 Kingsoft Cloud and XIAO I into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kingsoft Cloud Holdings and XIAO I American, you can compare the effects of market volatilities on Kingsoft Cloud and XIAO I 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 Kingsoft Cloud with a short position of XIAO I. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kingsoft Cloud and XIAO I.
Diversification Opportunities for Kingsoft Cloud and XIAO I
-0.64 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Kingsoft and XIAO is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding Kingsoft Cloud Holdings and XIAO I American in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on XIAO I American and Kingsoft Cloud 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 Kingsoft Cloud Holdings are associated (or correlated) with XIAO I. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of XIAO I American has no effect on the direction of Kingsoft Cloud i.e., Kingsoft Cloud and XIAO I go up and down completely randomly.
Pair Corralation between Kingsoft Cloud and XIAO I
Allowing for the 90-day total investment horizon Kingsoft Cloud Holdings is expected to generate 0.83 times more return on investment than XIAO I. However, Kingsoft Cloud Holdings is 1.21 times less risky than XIAO I. It trades about 0.06 of its potential returns per unit of risk. XIAO I American is currently generating about -0.03 per unit of risk. If you would invest 497.00 in Kingsoft Cloud Holdings on June 6, 2025 and sell it today you would earn a total of 883.00 from holding Kingsoft Cloud Holdings or generate 177.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kingsoft Cloud Holdings vs. XIAO I American
Performance |
| Timeline |
| Kingsoft Cloud Holdings |
| XIAO I American |
Kingsoft Cloud and XIAO I Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kingsoft Cloud and XIAO I
The main advantage of trading using opposite Kingsoft Cloud and XIAO I positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kingsoft Cloud position performs unexpectedly, XIAO I 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 XIAO I will offset losses from the drop in XIAO I's long position.| Kingsoft Cloud vs. Domo Inc | Kingsoft Cloud vs. GDS Holdings | Kingsoft Cloud vs. Next Technology Holding | Kingsoft Cloud vs. Full Truck Alliance |
| XIAO I vs. Emerson Electric | XIAO I vs. Nocera Inc | XIAO I vs. Everus Construction Group | XIAO I vs. John B Sanfilippo |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
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