Correlation Between CI GAMES and GLG LIFE
Can any of the company-specific risk be diversified away by investing in both CI GAMES and GLG LIFE 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 CI GAMES and GLG LIFE into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CI GAMES SA and GLG LIFE TECH, you can compare the effects of market volatilities on CI GAMES and GLG LIFE 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 CI GAMES with a short position of GLG LIFE. Check out your portfolio center. Please also check ongoing floating volatility patterns of CI GAMES and GLG LIFE.
Diversification Opportunities for CI GAMES and GLG LIFE
Pay attention - limited upside
The 3 months correlation between CI7 and GLG is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding CI GAMES SA and GLG LIFE TECH in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GLG LIFE TECH and CI GAMES 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 CI GAMES SA are associated (or correlated) with GLG LIFE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GLG LIFE TECH has no effect on the direction of CI GAMES i.e., CI GAMES and GLG LIFE go up and down completely randomly.
Pair Corralation between CI GAMES and GLG LIFE
If you would invest 2.00 in GLG LIFE TECH on August 29, 2024 and sell it today you would earn a total of 0.00 from holding GLG LIFE TECH 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 |
CI GAMES SA vs. GLG LIFE TECH
Performance |
| Timeline |
| CI GAMES SA |
| GLG LIFE TECH |
CI GAMES and GLG LIFE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CI GAMES and GLG LIFE
The main advantage of trading using opposite CI GAMES and GLG LIFE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CI GAMES position performs unexpectedly, GLG LIFE 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 GLG LIFE will offset losses from the drop in GLG LIFE's long position.| CI GAMES vs. New Residential Investment | CI GAMES vs. SLR Investment Corp | CI GAMES vs. WisdomTree Investments | CI GAMES vs. Hyrican Informationssysteme Aktiengesellschaft |
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.
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