Correlation Between Goodfood Market and Rogers Communications
Can any of the company-specific risk be diversified away by investing in both Goodfood Market and Rogers Communications 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 Goodfood Market and Rogers Communications into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Goodfood Market Corp and Rogers Communications, you can compare the effects of market volatilities on Goodfood Market and Rogers Communications 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 Goodfood Market with a short position of Rogers Communications. Check out your portfolio center. Please also check ongoing floating volatility patterns of Goodfood Market and Rogers Communications.
Diversification Opportunities for Goodfood Market and Rogers Communications
-0.79 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Goodfood and Rogers is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Goodfood Market Corp and Rogers Communications in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rogers Communications and Goodfood Market 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 Goodfood Market Corp are associated (or correlated) with Rogers Communications. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rogers Communications has no effect on the direction of Goodfood Market i.e., Goodfood Market and Rogers Communications go up and down completely randomly.
Pair Corralation between Goodfood Market and Rogers Communications
Assuming the 90 days trading horizon Goodfood Market Corp is expected to generate 4.03 times more return on investment than Rogers Communications. However, Goodfood Market is 4.03 times more volatile than Rogers Communications. It trades about 0.32 of its potential returns per unit of risk. Rogers Communications is currently generating about -0.1 per unit of risk. If you would invest 30.00 in Goodfood Market Corp on September 1, 2024 and sell it today you would earn a total of 15.00 from holding Goodfood Market Corp or generate 50.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Goodfood Market Corp vs. Rogers Communications
Performance |
| Timeline |
| Goodfood Market Corp |
| Rogers Communications |
Goodfood Market and Rogers Communications Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Goodfood Market and Rogers Communications
The main advantage of trading using opposite Goodfood Market and Rogers Communications positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Goodfood Market position performs unexpectedly, Rogers Communications 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 Rogers Communications will offset losses from the drop in Rogers Communications' long position.| Goodfood Market vs. WELL Health Technologies | Goodfood Market vs. Lightspeed Commerce | Goodfood Market vs. iShares Canadian HYBrid | Goodfood Market vs. Altagas Cum Red |
| Rogers Communications vs. Hemisphere Energy | Rogers Communications vs. AGF Management Limited | Rogers Communications vs. Plaza Retail REIT | Rogers Communications vs. Data Communications Management |
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 AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
Other Complementary Tools
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |