Correlation Between Gan and Codere Online
Can any of the company-specific risk be diversified away by investing in both Gan and Codere Online 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 Gan and Codere Online into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gan and Codere Online Corp, you can compare the effects of market volatilities on Gan and Codere Online 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 Gan with a short position of Codere Online. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gan and Codere Online.
Diversification Opportunities for Gan and Codere Online
0.06 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Gan and Codere is 0.06. Overlapping area represents the amount of risk that can be diversified away by holding Gan and Codere Online Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Codere Online Corp and Gan 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 Gan are associated (or correlated) with Codere Online. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Codere Online Corp has no effect on the direction of Gan i.e., Gan and Codere Online go up and down completely randomly.
Pair Corralation between Gan and Codere Online
Considering the 90-day investment horizon Gan is expected to generate 0.54 times more return on investment than Codere Online. However, Gan is 1.86 times less risky than Codere Online. It trades about 0.08 of its potential returns per unit of risk. Codere Online Corp is currently generating about 0.02 per unit of risk. If you would invest 173.00 in Gan on August 29, 2024 and sell it today you would earn a total of 10.00 from holding Gan or generate 5.78% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gan vs. Codere Online Corp
Performance |
| Timeline |
| Gan |
| Codere Online Corp |
Gan and Codere Online Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gan and Codere Online
The main advantage of trading using opposite Gan and Codere Online positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gan position performs unexpectedly, Codere Online 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 Codere Online will offset losses from the drop in Codere Online's long position.| Gan vs. Rush Street Interactive | Gan vs. Inspired Entertainment | Gan vs. PointsBet Holdings Limited | Gan vs. PlayAGS |
| Codere Online vs. Accel Entertainment | Codere Online vs. PlayAGS | Codere Online vs. Gambling Group | Codere Online vs. Canterbury Park Holding |
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 Stocks Directory module to find actively traded stocks across global markets.
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