Correlation Between Coeur Mining and Henderson High
Can any of the company-specific risk be diversified away by investing in both Coeur Mining and Henderson High 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 Coeur Mining and Henderson High into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Coeur Mining and Henderson High Income, you can compare the effects of market volatilities on Coeur Mining and Henderson High 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 Coeur Mining with a short position of Henderson High. Check out your portfolio center. Please also check ongoing floating volatility patterns of Coeur Mining and Henderson High.
Diversification Opportunities for Coeur Mining and Henderson High
0.09 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Coeur and Henderson is 0.09. Overlapping area represents the amount of risk that can be diversified away by holding Coeur Mining and Henderson High Income in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Henderson High Income and Coeur Mining 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 Coeur Mining are associated (or correlated) with Henderson High. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Henderson High Income has no effect on the direction of Coeur Mining i.e., Coeur Mining and Henderson High go up and down completely randomly.
Pair Corralation between Coeur Mining and Henderson High
Assuming the 90 days trading horizon Coeur Mining is expected to generate 3.18 times more return on investment than Henderson High. However, Coeur Mining is 3.18 times more volatile than Henderson High Income. It trades about 0.19 of its potential returns per unit of risk. Henderson High Income is currently generating about 0.0 per unit of risk. If you would invest 585.00 in Coeur Mining on October 25, 2024 and sell it today you would earn a total of 65.00 from holding Coeur Mining or generate 11.11% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 95.0% |
| Values | Daily Returns |
Coeur Mining vs. Henderson High Income
Performance |
| Timeline |
| Coeur Mining |
| Henderson High Income |
Coeur Mining and Henderson High Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Coeur Mining and Henderson High
The main advantage of trading using opposite Coeur Mining and Henderson High positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Coeur Mining position performs unexpectedly, Henderson High 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 Henderson High will offset losses from the drop in Henderson High's long position.| Coeur Mining vs. Prosiebensat 1 Media | Coeur Mining vs. Live Nation Entertainment | Coeur Mining vs. Tavistock Investments Plc | Coeur Mining vs. Smithson Investment Trust |
| Henderson High vs. DFS Furniture PLC | Henderson High vs. Taiwan Semiconductor Manufacturing | Henderson High vs. Coeur Mining | Henderson High vs. Beazer Homes USA |
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 Stocks Directory module to find actively traded stocks across global markets.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |