Correlation Between Freightos Limited and Prosegur Cash
Can any of the company-specific risk be diversified away by investing in both Freightos Limited and Prosegur Cash 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 Freightos Limited and Prosegur Cash into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Freightos Limited Ordinary and Prosegur Cash SA, you can compare the effects of market volatilities on Freightos Limited and Prosegur Cash 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 Freightos Limited with a short position of Prosegur Cash. Check out your portfolio center. Please also check ongoing floating volatility patterns of Freightos Limited and Prosegur Cash.
Diversification Opportunities for Freightos Limited and Prosegur Cash
-0.51 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Freightos and Prosegur is -0.51. Overlapping area represents the amount of risk that can be diversified away by holding Freightos Limited Ordinary and Prosegur Cash SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Prosegur Cash SA and Freightos Limited 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 Freightos Limited Ordinary are associated (or correlated) with Prosegur Cash. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Prosegur Cash SA has no effect on the direction of Freightos Limited i.e., Freightos Limited and Prosegur Cash go up and down completely randomly.
Pair Corralation between Freightos Limited and Prosegur Cash
If you would invest 286.00 in Freightos Limited Ordinary on October 26, 2024 and sell it today you would earn a total of 84.00 from holding Freightos Limited Ordinary or generate 29.37% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 5.56% |
| Values | Daily Returns |
Freightos Limited Ordinary vs. Prosegur Cash SA
Performance |
| Timeline |
| Freightos Limited |
| Prosegur Cash SA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Freightos Limited and Prosegur Cash Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Freightos Limited and Prosegur Cash
The main advantage of trading using opposite Freightos Limited and Prosegur Cash positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Freightos Limited position performs unexpectedly, Prosegur Cash 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 Prosegur Cash will offset losses from the drop in Prosegur Cash's long position.| Freightos Limited vs. Hub Group | Freightos Limited vs. Landstar System | Freightos Limited vs. JB Hunt Transport | Freightos Limited vs. Expeditors International of |
| Prosegur Cash vs. Freightos Limited Ordinary | Prosegur Cash vs. Addentax Group Corp | Prosegur Cash vs. Forward Air | Prosegur Cash vs. Shengfeng Development Limited |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Equity Valuation Check real value of public entities based on technical and fundamental data |