Correlation Between Amplify Weight and KraneShares Trust

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Can any of the company-specific risk be diversified away by investing in both Amplify Weight and KraneShares Trust 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 Amplify Weight and KraneShares Trust into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Amplify Weight Loss and KraneShares Trust, you can compare the effects of market volatilities on Amplify Weight and KraneShares Trust 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 Amplify Weight with a short position of KraneShares Trust. Check out your portfolio center. Please also check ongoing floating volatility patterns of Amplify Weight and KraneShares Trust.

Diversification Opportunities for Amplify Weight and KraneShares Trust

-0.47
  Correlation Coefficient

Very good diversification

The 3 months correlation between Amplify and KraneShares is -0.47. Overlapping area represents the amount of risk that can be diversified away by holding Amplify Weight Loss and KraneShares Trust in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KraneShares Trust and Amplify Weight 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 Amplify Weight Loss are associated (or correlated) with KraneShares Trust. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KraneShares Trust has no effect on the direction of Amplify Weight i.e., Amplify Weight and KraneShares Trust go up and down completely randomly.

Pair Corralation between Amplify Weight and KraneShares Trust

Given the investment horizon of 90 days Amplify Weight Loss is expected to generate 3.24 times more return on investment than KraneShares Trust. However, Amplify Weight is 3.24 times more volatile than KraneShares Trust. It trades about 0.1 of its potential returns per unit of risk. KraneShares Trust is currently generating about 0.03 per unit of risk. If you would invest  2,312  in Amplify Weight Loss on September 10, 2025 and sell it today you would earn a total of  184.00  from holding Amplify Weight Loss or generate 7.96% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthVery Weak
Accuracy100.0%
ValuesDaily Returns

Amplify Weight Loss  vs.  KraneShares Trust

 Performance 
       Timeline  
Amplify Weight Loss 

Risk-Adjusted Performance

Fair

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Amplify Weight Loss are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Even with relatively weak basic indicators, Amplify Weight may actually be approaching a critical reversion point that can send shares even higher in January 2026.
KraneShares Trust 

Risk-Adjusted Performance

Weak

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in KraneShares Trust are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy basic indicators, KraneShares Trust is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Amplify Weight and KraneShares Trust Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Amplify Weight and KraneShares Trust

The main advantage of trading using opposite Amplify Weight and KraneShares Trust positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Amplify Weight position performs unexpectedly, KraneShares Trust 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 KraneShares Trust will offset losses from the drop in KraneShares Trust's long position.
The idea behind Amplify Weight Loss and KraneShares Trust 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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.

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