Correlation Between Aftermath Silver and Americas Silver
Can any of the company-specific risk be diversified away by investing in both Aftermath Silver and Americas Silver 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 Aftermath Silver and Americas Silver into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Aftermath Silver and Americas Silver Corp, you can compare the effects of market volatilities on Aftermath Silver and Americas Silver 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 Aftermath Silver with a short position of Americas Silver. Check out your portfolio center. Please also check ongoing floating volatility patterns of Aftermath Silver and Americas Silver.
Diversification Opportunities for Aftermath Silver and Americas Silver
0.85 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Aftermath and Americas is 0.85. Overlapping area represents the amount of risk that can be diversified away by holding Aftermath Silver and Americas Silver Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Americas Silver Corp and Aftermath Silver 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 Aftermath Silver are associated (or correlated) with Americas Silver. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Americas Silver Corp has no effect on the direction of Aftermath Silver i.e., Aftermath Silver and Americas Silver go up and down completely randomly.
Pair Corralation between Aftermath Silver and Americas Silver
Assuming the 90 days horizon Aftermath Silver is expected to generate 1.32 times less return on investment than Americas Silver. In addition to that, Aftermath Silver is 1.01 times more volatile than Americas Silver Corp. It trades about 0.12 of its total potential returns per unit of risk. Americas Silver Corp is currently generating about 0.16 per unit of volatility. If you would invest 23.00 in Americas Silver Corp on August 31, 2024 and sell it today you would earn a total of 14.00 from holding Americas Silver Corp or generate 60.87% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Aftermath Silver vs. Americas Silver Corp
Performance |
| Timeline |
| Aftermath Silver |
| Americas Silver Corp |
Aftermath Silver and Americas Silver Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Aftermath Silver and Americas Silver
The main advantage of trading using opposite Aftermath Silver and Americas Silver positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Aftermath Silver position performs unexpectedly, Americas Silver 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 Americas Silver will offset losses from the drop in Americas Silver's long position.| Aftermath Silver vs. Ascendant Resources | Aftermath Silver vs. Nevada King Gold | Aftermath Silver vs. Fathom Nickel | Aftermath Silver vs. Wallbridge Mining |
| Americas Silver vs. Vizsla Resources Corp | Americas Silver vs. Western Copper and | Americas Silver vs. EMX Royalty Corp | Americas Silver vs. Alphamin Resources Corp |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| 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 | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |