Correlation Between Coeur Mining and JLEN Environmental
Can any of the company-specific risk be diversified away by investing in both Coeur Mining and JLEN Environmental 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 JLEN Environmental into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Coeur Mining and JLEN Environmental Assets, you can compare the effects of market volatilities on Coeur Mining and JLEN Environmental 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 JLEN Environmental. Check out your portfolio center. Please also check ongoing floating volatility patterns of Coeur Mining and JLEN Environmental.
Diversification Opportunities for Coeur Mining and JLEN Environmental
0.27 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Coeur and JLEN is 0.27. Overlapping area represents the amount of risk that can be diversified away by holding Coeur Mining and JLEN Environmental Assets in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JLEN Environmental Assets 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 JLEN Environmental. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JLEN Environmental Assets has no effect on the direction of Coeur Mining i.e., Coeur Mining and JLEN Environmental go up and down completely randomly.
Pair Corralation between Coeur Mining and JLEN Environmental
Assuming the 90 days trading horizon Coeur Mining is expected to generate 2.98 times more return on investment than JLEN Environmental. However, Coeur Mining is 2.98 times more volatile than JLEN Environmental Assets. It trades about 0.05 of its potential returns per unit of risk. JLEN Environmental Assets is currently generating about -0.07 per unit of risk. If you would invest 343.00 in Coeur Mining on November 1, 2024 and sell it today you would earn a total of 292.00 from holding Coeur Mining or generate 85.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 99.2% |
| Values | Daily Returns |
Coeur Mining vs. JLEN Environmental Assets
Performance |
| Timeline |
| Coeur Mining |
| JLEN Environmental Assets |
Coeur Mining and JLEN Environmental Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Coeur Mining and JLEN Environmental
The main advantage of trading using opposite Coeur Mining and JLEN Environmental positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Coeur Mining position performs unexpectedly, JLEN Environmental 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 JLEN Environmental will offset losses from the drop in JLEN Environmental's long position.| Coeur Mining vs. Broadcom | Coeur Mining vs. Ross Stores | Coeur Mining vs. First Class Metals | Coeur Mining vs. Ebro Foods |
| JLEN Environmental vs. Coeur Mining | JLEN Environmental vs. GreenX Metals | JLEN Environmental vs. Atalaya Mining | JLEN Environmental vs. Axfood AB |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
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