Correlation Between CannaGlobal Acquisition and Kinetik Holdings
Can any of the company-specific risk be diversified away by investing in both CannaGlobal Acquisition and Kinetik Holdings 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 CannaGlobal Acquisition and Kinetik Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CannaGlobal Acquisition Corp and Kinetik Holdings, you can compare the effects of market volatilities on CannaGlobal Acquisition and Kinetik Holdings 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 CannaGlobal Acquisition with a short position of Kinetik Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of CannaGlobal Acquisition and Kinetik Holdings.
Diversification Opportunities for CannaGlobal Acquisition and Kinetik Holdings
-0.68 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between CannaGlobal and Kinetik is -0.68. Overlapping area represents the amount of risk that can be diversified away by holding CannaGlobal Acquisition Corp and Kinetik Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kinetik Holdings and CannaGlobal Acquisition 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 CannaGlobal Acquisition Corp are associated (or correlated) with Kinetik Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kinetik Holdings has no effect on the direction of CannaGlobal Acquisition i.e., CannaGlobal Acquisition and Kinetik Holdings go up and down completely randomly.
Pair Corralation between CannaGlobal Acquisition and Kinetik Holdings
If you would invest 1,092 in CannaGlobal Acquisition Corp on September 12, 2024 and sell it today you would earn a total of 0.00 from holding CannaGlobal Acquisition Corp or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 4.55% |
| Values | Daily Returns |
CannaGlobal Acquisition Corp vs. Kinetik Holdings
Performance |
| Timeline |
| CannaGlobal Acquisition |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Kinetik Holdings |
CannaGlobal Acquisition and Kinetik Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CannaGlobal Acquisition and Kinetik Holdings
The main advantage of trading using opposite CannaGlobal Acquisition and Kinetik Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CannaGlobal Acquisition position performs unexpectedly, Kinetik Holdings 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 Kinetik Holdings will offset losses from the drop in Kinetik Holdings' long position.| CannaGlobal Acquisition vs. Spyre Therapeutics | CannaGlobal Acquisition vs. Sellas Life Sciences | CannaGlobal Acquisition vs. Genfit | CannaGlobal Acquisition vs. The Gap, |
| Kinetik Holdings vs. Western Midstream Partners | Kinetik Holdings vs. DT Midstream | Kinetik Holdings vs. MPLX LP | Kinetik Holdings vs. Hess Midstream Partners |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
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