Correlation Between JINS HOLDINGS and Barrick Gold
Can any of the company-specific risk be diversified away by investing in both JINS HOLDINGS and Barrick Gold 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 JINS HOLDINGS and Barrick Gold into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between JINS HOLDINGS INC and Barrick Gold, you can compare the effects of market volatilities on JINS HOLDINGS and Barrick Gold 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 JINS HOLDINGS with a short position of Barrick Gold. Check out your portfolio center. Please also check ongoing floating volatility patterns of JINS HOLDINGS and Barrick Gold.
Diversification Opportunities for JINS HOLDINGS and Barrick Gold
-0.12 | Correlation Coefficient |
Good diversification
The 3 months correlation between JINS and Barrick is -0.12. Overlapping area represents the amount of risk that can be diversified away by holding JINS HOLDINGS INC and Barrick Gold in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Barrick Gold and JINS HOLDINGS 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 JINS HOLDINGS INC are associated (or correlated) with Barrick Gold. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Barrick Gold has no effect on the direction of JINS HOLDINGS i.e., JINS HOLDINGS and Barrick Gold go up and down completely randomly.
Pair Corralation between JINS HOLDINGS and Barrick Gold
Assuming the 90 days horizon JINS HOLDINGS INC is expected to generate 3.2 times more return on investment than Barrick Gold. However, JINS HOLDINGS is 3.2 times more volatile than Barrick Gold. It trades about 0.06 of its potential returns per unit of risk. Barrick Gold is currently generating about 0.02 per unit of risk. If you would invest 1,098 in JINS HOLDINGS INC on November 9, 2024 and sell it today you would earn a total of 3,222 from holding JINS HOLDINGS INC or generate 293.44% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
JINS HOLDINGS INC vs. Barrick Gold
Performance |
| Timeline |
| JINS HOLDINGS INC |
| Barrick Gold |
JINS HOLDINGS and Barrick Gold Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with JINS HOLDINGS and Barrick Gold
The main advantage of trading using opposite JINS HOLDINGS and Barrick Gold positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JINS HOLDINGS position performs unexpectedly, Barrick Gold 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 Barrick Gold will offset losses from the drop in Barrick Gold's long position.| JINS HOLDINGS vs. Teradata Corp | JINS HOLDINGS vs. DATATEC LTD 2 | JINS HOLDINGS vs. Insurance Australia Group | JINS HOLDINGS vs. PANIN INSURANCE |
| Barrick Gold vs. X FAB Silicon Foundries | Barrick Gold vs. Silicon Motion Technology | Barrick Gold vs. CANON MARKETING JP | Barrick Gold vs. Tradegate AG Wertpapierhandelsbank |
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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |