Correlation Between Kforce and ASGN
Can any of the company-specific risk be diversified away by investing in both Kforce and ASGN 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 Kforce and ASGN into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kforce Inc and ASGN Inc, you can compare the effects of market volatilities on Kforce and ASGN 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 Kforce with a short position of ASGN. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kforce and ASGN.
Diversification Opportunities for Kforce and ASGN
Average diversification
The 3 months correlation between Kforce and ASGN is 0.11. Overlapping area represents the amount of risk that can be diversified away by holding Kforce Inc and ASGN Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ASGN Inc and Kforce 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 Kforce Inc are associated (or correlated) with ASGN. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ASGN Inc has no effect on the direction of Kforce i.e., Kforce and ASGN go up and down completely randomly.
Pair Corralation between Kforce and ASGN
Given the investment horizon of 90 days Kforce Inc is expected to under-perform the ASGN. In addition to that, Kforce is 1.24 times more volatile than ASGN Inc. It trades about -0.18 of its total potential returns per unit of risk. ASGN Inc is currently generating about -0.02 per unit of volatility. If you would invest 4,850 in ASGN Inc on July 12, 2025 and sell it today you would lose (309.00) from holding ASGN Inc or give up 6.37% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kforce Inc vs. ASGN Inc
Performance |
| Timeline |
| Kforce Inc |
| ASGN Inc |
Kforce and ASGN Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kforce and ASGN
The main advantage of trading using opposite Kforce and ASGN positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kforce position performs unexpectedly, ASGN 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 ASGN will offset losses from the drop in ASGN's long position.| Kforce vs. ASGN Inc | Kforce vs. Barrett Business Services | Kforce vs. Heidrick Struggles International | Kforce vs. Kelly Services A |
| ASGN vs. CLARIVATE PLC | ASGN vs. ExlService Holdings | ASGN vs. Genpact Limited | ASGN vs. Science Applications International |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |