Correlation Between Mgame Corp and Aprogen Healthcare
Can any of the company-specific risk be diversified away by investing in both Mgame Corp and Aprogen Healthcare 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 Mgame Corp and Aprogen Healthcare into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mgame Corp and Aprogen Healthcare Games, you can compare the effects of market volatilities on Mgame Corp and Aprogen Healthcare 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 Mgame Corp with a short position of Aprogen Healthcare. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mgame Corp and Aprogen Healthcare.
Diversification Opportunities for Mgame Corp and Aprogen Healthcare
0.26 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Mgame and Aprogen is 0.26. Overlapping area represents the amount of risk that can be diversified away by holding Mgame Corp and Aprogen Healthcare Games in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aprogen Healthcare Games and Mgame Corp 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 Mgame Corp are associated (or correlated) with Aprogen Healthcare. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aprogen Healthcare Games has no effect on the direction of Mgame Corp i.e., Mgame Corp and Aprogen Healthcare go up and down completely randomly.
Pair Corralation between Mgame Corp and Aprogen Healthcare
Assuming the 90 days trading horizon Mgame Corp is expected to generate 0.29 times more return on investment than Aprogen Healthcare. However, Mgame Corp is 3.39 times less risky than Aprogen Healthcare. It trades about -0.13 of its potential returns per unit of risk. Aprogen Healthcare Games is currently generating about -0.15 per unit of risk. If you would invest 527,029 in Mgame Corp on October 24, 2024 and sell it today you would lose (14,029) from holding Mgame Corp or give up 2.66% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Mgame Corp vs. Aprogen Healthcare Games
Performance |
| Timeline |
| Mgame Corp |
| Aprogen Healthcare Games |
Mgame Corp and Aprogen Healthcare Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mgame Corp and Aprogen Healthcare
The main advantage of trading using opposite Mgame Corp and Aprogen Healthcare positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mgame Corp position performs unexpectedly, Aprogen Healthcare 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 Aprogen Healthcare will offset losses from the drop in Aprogen Healthcare's long position.| Mgame Corp vs. AptaBio Therapeutics | Mgame Corp vs. Daewoo SBI SPAC | Mgame Corp vs. Dream Security co | Mgame Corp vs. Microfriend |
| Aprogen Healthcare vs. Hyundai Green Food | Aprogen Healthcare vs. Seoul Food Industrial | Aprogen Healthcare vs. Dongbu Insurance Co | Aprogen Healthcare vs. Sajo Seafood |
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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |