Correlation Between Beehive Fund and Gabelli Gold
Can any of the company-specific risk be diversified away by investing in both Beehive Fund and Gabelli 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 Beehive Fund and Gabelli Gold into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between The Beehive Fund and Gabelli Gold Fund, you can compare the effects of market volatilities on Beehive Fund and Gabelli 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 Beehive Fund with a short position of Gabelli Gold. Check out your portfolio center. Please also check ongoing floating volatility patterns of Beehive Fund and Gabelli Gold.
Diversification Opportunities for Beehive Fund and Gabelli Gold
0.22 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Beehive and Gabelli is 0.22. Overlapping area represents the amount of risk that can be diversified away by holding The Beehive Fund and Gabelli Gold Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gabelli Gold and Beehive Fund 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 The Beehive Fund are associated (or correlated) with Gabelli Gold. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gabelli Gold has no effect on the direction of Beehive Fund i.e., Beehive Fund and Gabelli Gold go up and down completely randomly.
Pair Corralation between Beehive Fund and Gabelli Gold
Assuming the 90 days horizon Beehive Fund is expected to generate 1.18 times less return on investment than Gabelli Gold. But when comparing it to its historical volatility, The Beehive Fund is 2.32 times less risky than Gabelli Gold. It trades about 0.09 of its potential returns per unit of risk. Gabelli Gold Fund is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 1,662 in Gabelli Gold Fund on September 12, 2024 and sell it today you would earn a total of 595.00 from holding Gabelli Gold Fund or generate 35.8% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
The Beehive Fund vs. Gabelli Gold Fund
Performance |
| Timeline |
| Beehive Fund |
| Gabelli Gold |
Beehive Fund and Gabelli Gold Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Beehive Fund and Gabelli Gold
The main advantage of trading using opposite Beehive Fund and Gabelli Gold positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Beehive Fund position performs unexpectedly, Gabelli 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 Gabelli Gold will offset losses from the drop in Gabelli Gold's long position.| Beehive Fund vs. Fm Investments Large | Beehive Fund vs. Upright Assets Allocation | Beehive Fund vs. Alternative Asset Allocation | Beehive Fund vs. Pace Large Growth |
| Gabelli Gold vs. First Eagle Gold | Gabelli Gold vs. Oppenheimer Gold Special | Gabelli Gold vs. HUMANA INC | Gabelli Gold vs. Barloworld Ltd ADR |
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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
Other Complementary Tools
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |