Correlation Between Henry Boot and Thor Mining
Can any of the company-specific risk be diversified away by investing in both Henry Boot and Thor Mining 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 Henry Boot and Thor Mining into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Henry Boot PLC and Thor Mining PLC, you can compare the effects of market volatilities on Henry Boot and Thor Mining 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 Henry Boot with a short position of Thor Mining. Check out your portfolio center. Please also check ongoing floating volatility patterns of Henry Boot and Thor Mining.
Diversification Opportunities for Henry Boot and Thor Mining
-0.38 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Henry and Thor is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding Henry Boot PLC and Thor Mining PLC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Thor Mining PLC and Henry Boot 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 Henry Boot PLC are associated (or correlated) with Thor Mining. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Thor Mining PLC has no effect on the direction of Henry Boot i.e., Henry Boot and Thor Mining go up and down completely randomly.
Pair Corralation between Henry Boot and Thor Mining
If you would invest 76.00 in Henry Boot PLC on August 31, 2024 and sell it today you would earn a total of 0.00 from holding Henry Boot PLC or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Henry Boot PLC vs. Thor Mining PLC
Performance |
| Timeline |
| Henry Boot PLC |
| Thor Mining PLC |
Henry Boot and Thor Mining Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Henry Boot and Thor Mining
The main advantage of trading using opposite Henry Boot and Thor Mining positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Henry Boot position performs unexpectedly, Thor Mining 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 Thor Mining will offset losses from the drop in Thor Mining's long position.| Henry Boot vs. Thor Mining PLC | Henry Boot vs. GoldMining | Henry Boot vs. AMG Advanced Metallurgical | Henry Boot vs. Hochschild Mining plc |
| Thor Mining vs. Centamin PLC | Thor Mining vs. Anglo Asian Mining | Thor Mining vs. Metals Exploration Plc |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |