Correlation Between PennyMac Mortgage and Gol Intelligent
Can any of the company-specific risk be diversified away by investing in both PennyMac Mortgage and Gol Intelligent 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 PennyMac Mortgage and Gol Intelligent into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between PennyMac Mortgage Investment and Gol Intelligent Airlines, you can compare the effects of market volatilities on PennyMac Mortgage and Gol Intelligent 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 PennyMac Mortgage with a short position of Gol Intelligent. Check out your portfolio center. Please also check ongoing floating volatility patterns of PennyMac Mortgage and Gol Intelligent.
Diversification Opportunities for PennyMac Mortgage and Gol Intelligent
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between PennyMac and Gol is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding PennyMac Mortgage Investment and Gol Intelligent Airlines in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gol Intelligent Airlines and PennyMac Mortgage 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 PennyMac Mortgage Investment are associated (or correlated) with Gol Intelligent. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gol Intelligent Airlines has no effect on the direction of PennyMac Mortgage i.e., PennyMac Mortgage and Gol Intelligent go up and down completely randomly.
Pair Corralation between PennyMac Mortgage and Gol Intelligent
If you would invest 1,240 in PennyMac Mortgage Investment on September 22, 2024 and sell it today you would earn a total of 0.00 from holding PennyMac Mortgage Investment or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
PennyMac Mortgage Investment vs. Gol Intelligent Airlines
Performance |
| Timeline |
| PennyMac Mortgage |
| Gol Intelligent Airlines |
PennyMac Mortgage and Gol Intelligent Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with PennyMac Mortgage and Gol Intelligent
The main advantage of trading using opposite PennyMac Mortgage and Gol Intelligent positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if PennyMac Mortgage position performs unexpectedly, Gol Intelligent 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 Gol Intelligent will offset losses from the drop in Gol Intelligent's long position.| PennyMac Mortgage vs. Crown Castle International | PennyMac Mortgage vs. Equinix | PennyMac Mortgage vs. W P Carey | PennyMac Mortgage vs. Gaming and Leisure |
| Gol Intelligent vs. MGIC INVESTMENT | Gol Intelligent vs. PennyMac Mortgage Investment | Gol Intelligent vs. DIVERSIFIED ROYALTY | Gol Intelligent vs. TITANIUM TRANSPORTGROUP |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
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