Correlation Between Grieg Seafood and Zoom Video
Can any of the company-specific risk be diversified away by investing in both Grieg Seafood and Zoom Video 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 Grieg Seafood and Zoom Video into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Grieg Seafood and Zoom Video Communications, you can compare the effects of market volatilities on Grieg Seafood and Zoom Video 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 Grieg Seafood with a short position of Zoom Video. Check out your portfolio center. Please also check ongoing floating volatility patterns of Grieg Seafood and Zoom Video.
Diversification Opportunities for Grieg Seafood and Zoom Video
-0.39 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Grieg and Zoom is -0.39. Overlapping area represents the amount of risk that can be diversified away by holding Grieg Seafood and Zoom Video Communications in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Zoom Video Communications and Grieg Seafood 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 Grieg Seafood are associated (or correlated) with Zoom Video. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Zoom Video Communications has no effect on the direction of Grieg Seafood i.e., Grieg Seafood and Zoom Video go up and down completely randomly.
Pair Corralation between Grieg Seafood and Zoom Video
Assuming the 90 days trading horizon Grieg Seafood is expected to under-perform the Zoom Video. In addition to that, Grieg Seafood is 1.96 times more volatile than Zoom Video Communications. It trades about -0.01 of its total potential returns per unit of risk. Zoom Video Communications is currently generating about 0.03 per unit of volatility. If you would invest 8,619 in Zoom Video Communications on November 11, 2024 and sell it today you would earn a total of 108.00 from holding Zoom Video Communications or generate 1.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 90.24% |
| Values | Daily Returns |
Grieg Seafood vs. Zoom Video Communications
Performance |
| Timeline |
| Grieg Seafood |
| Zoom Video Communications |
Grieg Seafood and Zoom Video Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Grieg Seafood and Zoom Video
The main advantage of trading using opposite Grieg Seafood and Zoom Video positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Grieg Seafood position performs unexpectedly, Zoom Video 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 Zoom Video will offset losses from the drop in Zoom Video's long position.| Grieg Seafood vs. European Metals Holdings | Grieg Seafood vs. JD Sports Fashion | Grieg Seafood vs. URU Metals | Grieg Seafood vs. Central Asia Metals |
| Zoom Video vs. Monster Beverage Corp | Zoom Video vs. Sligro Food Group | Zoom Video vs. Molson Coors Beverage | Zoom Video vs. Grieg 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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| CEOs Directory Screen CEOs from public companies around the world |