Correlation Between Altamira Gold and Cassiar Gold
Can any of the company-specific risk be diversified away by investing in both Altamira Gold and Cassiar Gold 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 Altamira Gold and Cassiar Gold into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Altamira Gold Corp and Cassiar Gold Corp, you can compare the effects of market volatilities on Altamira Gold and Cassiar Gold 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 Altamira Gold with a short position of Cassiar Gold. Check out your portfolio center. Please also check ongoing floating volatility patterns of Altamira Gold and Cassiar Gold.
Diversification Opportunities for Altamira Gold and Cassiar Gold
-0.24 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Altamira and Cassiar is -0.24. Overlapping area represents the amount of risk that can be diversified away by holding Altamira Gold Corp and Cassiar Gold Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cassiar Gold Corp and Altamira Gold 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 Altamira Gold Corp are associated (or correlated) with Cassiar Gold. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cassiar Gold Corp has no effect on the direction of Altamira Gold i.e., Altamira Gold and Cassiar Gold go up and down completely randomly.
Pair Corralation between Altamira Gold and Cassiar Gold
Assuming the 90 days horizon Altamira Gold Corp is expected to under-perform the Cassiar Gold. In addition to that, Altamira Gold is 1.08 times more volatile than Cassiar Gold Corp. It trades about -0.07 of its total potential returns per unit of risk. Cassiar Gold Corp is currently generating about 0.15 per unit of volatility. If you would invest 14.00 in Cassiar Gold Corp on November 28, 2024 and sell it today you would earn a total of 2.00 from holding Cassiar Gold Corp or generate 14.29% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Altamira Gold Corp vs. Cassiar Gold Corp
Performance |
| Timeline |
| Altamira Gold Corp |
| Cassiar Gold Corp |
Altamira Gold and Cassiar Gold Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Altamira Gold and Cassiar Gold
The main advantage of trading using opposite Altamira Gold and Cassiar Gold positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Altamira Gold position performs unexpectedly, Cassiar Gold 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 Cassiar Gold will offset losses from the drop in Cassiar Gold's long position.| Altamira Gold vs. Endurance Gold | Altamira Gold vs. Red Pine Exploration | Altamira Gold vs. Grande Portage Resources | Altamira Gold vs. Tectonic Metals |
| Cassiar Gold vs. Independence Gold Corp | Cassiar Gold vs. Westward Gold | Cassiar Gold vs. Cabral Gold | Cassiar Gold vs. Revival Gold |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges |