Correlation Between Centuria Industrial and COAST ENTERTAINMENT
Can any of the company-specific risk be diversified away by investing in both Centuria Industrial and COAST ENTERTAINMENT 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 Centuria Industrial and COAST ENTERTAINMENT into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Centuria Industrial Reit and COAST ENTERTAINMENT HOLDINGS, you can compare the effects of market volatilities on Centuria Industrial and COAST ENTERTAINMENT 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 Centuria Industrial with a short position of COAST ENTERTAINMENT. Check out your portfolio center. Please also check ongoing floating volatility patterns of Centuria Industrial and COAST ENTERTAINMENT.
Diversification Opportunities for Centuria Industrial and COAST ENTERTAINMENT
0.19 | Correlation Coefficient |
Average diversification
The 3 months correlation between Centuria and COAST is 0.19. Overlapping area represents the amount of risk that can be diversified away by holding Centuria Industrial Reit and COAST ENTERTAINMENT HOLDINGS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on COAST ENTERTAINMENT and Centuria Industrial 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 Centuria Industrial Reit are associated (or correlated) with COAST ENTERTAINMENT. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of COAST ENTERTAINMENT has no effect on the direction of Centuria Industrial i.e., Centuria Industrial and COAST ENTERTAINMENT go up and down completely randomly.
Pair Corralation between Centuria Industrial and COAST ENTERTAINMENT
Assuming the 90 days trading horizon Centuria Industrial Reit is expected to generate 0.39 times more return on investment than COAST ENTERTAINMENT. However, Centuria Industrial Reit is 2.59 times less risky than COAST ENTERTAINMENT. It trades about 0.02 of its potential returns per unit of risk. COAST ENTERTAINMENT HOLDINGS is currently generating about 0.0 per unit of risk. If you would invest 281.00 in Centuria Industrial Reit on September 2, 2024 and sell it today you would earn a total of 13.00 from holding Centuria Industrial Reit or generate 4.63% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Centuria Industrial Reit vs. COAST ENTERTAINMENT HOLDINGS
Performance |
| Timeline |
| Centuria Industrial Reit |
| COAST ENTERTAINMENT |
Centuria Industrial and COAST ENTERTAINMENT Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Centuria Industrial and COAST ENTERTAINMENT
The main advantage of trading using opposite Centuria Industrial and COAST ENTERTAINMENT positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Centuria Industrial position performs unexpectedly, COAST ENTERTAINMENT 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 COAST ENTERTAINMENT will offset losses from the drop in COAST ENTERTAINMENT's long position.| Centuria Industrial vs. Scentre Group | Centuria Industrial vs. Vicinity Centres Re | Centuria Industrial vs. Charter Hall Retail | Centuria Industrial vs. Cromwell Property Group |
| COAST ENTERTAINMENT vs. Viva Leisure | COAST ENTERTAINMENT vs. Toys R Us | COAST ENTERTAINMENT vs. Imricor Medical Systems | COAST ENTERTAINMENT vs. Midway |
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 Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |