Correlation Between CI GAMES and SOLSTAD OFFSHORE
Can any of the company-specific risk be diversified away by investing in both CI GAMES and SOLSTAD OFFSHORE 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 SOLSTAD OFFSHORE 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 SOLSTAD OFFSHORE NK, you can compare the effects of market volatilities on CI GAMES and SOLSTAD OFFSHORE 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 SOLSTAD OFFSHORE. Check out your portfolio center. Please also check ongoing floating volatility patterns of CI GAMES and SOLSTAD OFFSHORE.
Diversification Opportunities for CI GAMES and SOLSTAD OFFSHORE
0.12 | Correlation Coefficient |
Average diversification
The 3 months correlation between CI7 and SOLSTAD is 0.12. Overlapping area represents the amount of risk that can be diversified away by holding CI GAMES SA and SOLSTAD OFFSHORE NK in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SOLSTAD OFFSHORE 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 SOLSTAD OFFSHORE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SOLSTAD OFFSHORE has no effect on the direction of CI GAMES i.e., CI GAMES and SOLSTAD OFFSHORE go up and down completely randomly.
Pair Corralation between CI GAMES and SOLSTAD OFFSHORE
Assuming the 90 days horizon CI GAMES SA is expected to under-perform the SOLSTAD OFFSHORE. In addition to that, CI GAMES is 1.25 times more volatile than SOLSTAD OFFSHORE NK. It trades about -0.01 of its total potential returns per unit of risk. SOLSTAD OFFSHORE NK is currently generating about 0.06 per unit of volatility. If you would invest 236.00 in SOLSTAD OFFSHORE NK on August 27, 2024 and sell it today you would earn a total of 107.00 from holding SOLSTAD OFFSHORE NK or generate 45.34% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
CI GAMES SA vs. SOLSTAD OFFSHORE NK
Performance |
| Timeline |
| CI GAMES SA |
| SOLSTAD OFFSHORE |
CI GAMES and SOLSTAD OFFSHORE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CI GAMES and SOLSTAD OFFSHORE
The main advantage of trading using opposite CI GAMES and SOLSTAD OFFSHORE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CI GAMES position performs unexpectedly, SOLSTAD OFFSHORE 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 SOLSTAD OFFSHORE will offset losses from the drop in SOLSTAD OFFSHORE's long position.| CI GAMES vs. COMBA TELECOM SYST | CI GAMES vs. InPlay Oil Corp | CI GAMES vs. SBA Communications Corp | CI GAMES vs. Iridium Communications |
| SOLSTAD OFFSHORE vs. CVW CLEANTECH INC | SOLSTAD OFFSHORE vs. Microbot Medical | SOLSTAD OFFSHORE vs. Merit Medical Systems | SOLSTAD OFFSHORE vs. CARSALESCOM |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device |