Correlation Between Edible Garden and Kalera Public
Can any of the company-specific risk be diversified away by investing in both Edible Garden and Kalera Public 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 Edible Garden and Kalera Public into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Edible Garden AG and Kalera Public Limited, you can compare the effects of market volatilities on Edible Garden and Kalera Public 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 Edible Garden with a short position of Kalera Public. Check out your portfolio center. Please also check ongoing floating volatility patterns of Edible Garden and Kalera Public.
Diversification Opportunities for Edible Garden and Kalera Public
-0.37 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Edible and Kalera is -0.37. Overlapping area represents the amount of risk that can be diversified away by holding Edible Garden AG and Kalera Public Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kalera Public Limited and Edible Garden 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 Edible Garden AG are associated (or correlated) with Kalera Public. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kalera Public Limited has no effect on the direction of Edible Garden i.e., Edible Garden and Kalera Public go up and down completely randomly.
Pair Corralation between Edible Garden and Kalera Public
If you would invest 6.00 in Edible Garden AG on October 28, 2024 and sell it today you would lose (1.92) from holding Edible Garden AG or give up 32.0% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 5.26% |
| Values | Daily Returns |
Edible Garden AG vs. Kalera Public Limited
Performance |
| Timeline |
| Edible Garden AG |
| Kalera Public Limited |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Edible Garden and Kalera Public Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Edible Garden and Kalera Public
The main advantage of trading using opposite Edible Garden and Kalera Public positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Edible Garden position performs unexpectedly, Kalera Public 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 Kalera Public will offset losses from the drop in Kalera Public's long position.| Edible Garden vs. Edible Garden AG | Edible Garden vs. Dermata Therapeutics Warrant | Edible Garden vs. Iveda Solutions Warrant | Edible Garden vs. Aclarion |
| Kalera Public vs. Global Clean Energy | Kalera Public vs. Limoneira Co | Kalera Public vs. Edible Garden AG | Kalera Public vs. Golden Agri Resources |
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 Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device |