Correlation Between Brenmiller Energy and Mass Megawat
Can any of the company-specific risk be diversified away by investing in both Brenmiller Energy and Mass Megawat 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 Brenmiller Energy and Mass Megawat into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Brenmiller Energy Ltd and Mass Megawat Wind, you can compare the effects of market volatilities on Brenmiller Energy and Mass Megawat 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 Brenmiller Energy with a short position of Mass Megawat. Check out your portfolio center. Please also check ongoing floating volatility patterns of Brenmiller Energy and Mass Megawat.
Diversification Opportunities for Brenmiller Energy and Mass Megawat
0.55 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Brenmiller and Mass is 0.55. Overlapping area represents the amount of risk that can be diversified away by holding Brenmiller Energy Ltd and Mass Megawat Wind in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mass Megawat Wind and Brenmiller Energy 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 Brenmiller Energy Ltd are associated (or correlated) with Mass Megawat. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mass Megawat Wind has no effect on the direction of Brenmiller Energy i.e., Brenmiller Energy and Mass Megawat go up and down completely randomly.
Pair Corralation between Brenmiller Energy and Mass Megawat
Given the investment horizon of 90 days Brenmiller Energy Ltd is expected to under-perform the Mass Megawat. But the stock apears to be less risky and, when comparing its historical volatility, Brenmiller Energy Ltd is 11.91 times less risky than Mass Megawat. The stock trades about -0.11 of its potential returns per unit of risk. The Mass Megawat Wind is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 48.00 in Mass Megawat Wind on August 31, 2024 and sell it today you would lose (21.00) from holding Mass Megawat Wind or give up 43.75% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.65% |
| Values | Daily Returns |
Brenmiller Energy Ltd vs. Mass Megawat Wind
Performance |
| Timeline |
| Brenmiller Energy |
| Mass Megawat Wind |
Brenmiller Energy and Mass Megawat Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Brenmiller Energy and Mass Megawat
The main advantage of trading using opposite Brenmiller Energy and Mass Megawat positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Brenmiller Energy position performs unexpectedly, Mass Megawat 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 Mass Megawat will offset losses from the drop in Mass Megawat's long position.| Brenmiller Energy vs. Verde Clean Fuels | Brenmiller Energy vs. Smart Powerr Corp | Brenmiller Energy vs. Ormat Technologies | Brenmiller Energy vs. Tokyo Electric Power |
| Mass Megawat vs. Seychelle Environmtl | Mass Megawat vs. Energy and Water | Mass Megawat vs. One World Universe | Mass Megawat vs. Vow ASA |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Other Complementary Tools
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| 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 | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Global Correlations Find global opportunities by holding instruments from different markets |