Correlation Between Cantex Mine and Greystone Logistics
Can any of the company-specific risk be diversified away by investing in both Cantex Mine and Greystone Logistics 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 Cantex Mine and Greystone Logistics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cantex Mine Development and Greystone Logistics, you can compare the effects of market volatilities on Cantex Mine and Greystone Logistics 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 Cantex Mine with a short position of Greystone Logistics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cantex Mine and Greystone Logistics.
Diversification Opportunities for Cantex Mine and Greystone Logistics
0.65 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Cantex and Greystone is 0.65. Overlapping area represents the amount of risk that can be diversified away by holding Cantex Mine Development and Greystone Logistics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Greystone Logistics and Cantex Mine 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 Cantex Mine Development are associated (or correlated) with Greystone Logistics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Greystone Logistics has no effect on the direction of Cantex Mine i.e., Cantex Mine and Greystone Logistics go up and down completely randomly.
Pair Corralation between Cantex Mine and Greystone Logistics
Assuming the 90 days horizon Cantex Mine is expected to generate 9.42 times less return on investment than Greystone Logistics. In addition to that, Cantex Mine is 1.48 times more volatile than Greystone Logistics. It trades about 0.0 of its total potential returns per unit of risk. Greystone Logistics is currently generating about 0.04 per unit of volatility. If you would invest 62.00 in Greystone Logistics on August 28, 2024 and sell it today you would earn a total of 37.00 from holding Greystone Logistics or generate 59.68% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 99.79% |
| Values | Daily Returns |
Cantex Mine Development vs. Greystone Logistics
Performance |
| Timeline |
| Cantex Mine Development |
| Greystone Logistics |
Cantex Mine and Greystone Logistics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cantex Mine and Greystone Logistics
The main advantage of trading using opposite Cantex Mine and Greystone Logistics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cantex Mine position performs unexpectedly, Greystone Logistics 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 Greystone Logistics will offset losses from the drop in Greystone Logistics' long position.| Cantex Mine vs. Champion Bear Resources | Cantex Mine vs. Aurelia Metals Limited | Cantex Mine vs. Baroyeca Gold Silver | Cantex Mine vs. Centaurus Metals Limited |
| Greystone Logistics vs. Ascendant Resources | Greystone Logistics vs. Cantex Mine Development | Greystone Logistics vs. Amarc Resources | Greystone Logistics vs. Sterling Metals Corp |
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
| Transaction History View history of all your transactions and understand their impact on performance | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets |