Correlation Between Griffon and Phunware
Can any of the company-specific risk be diversified away by investing in both Griffon and Phunware 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 Griffon and Phunware into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Griffon and Phunware, you can compare the effects of market volatilities on Griffon and Phunware 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 Griffon with a short position of Phunware. Check out your portfolio center. Please also check ongoing floating volatility patterns of Griffon and Phunware.
Diversification Opportunities for Griffon and Phunware
Excellent diversification
The 3 months correlation between Griffon and Phunware is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding Griffon and Phunware in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Phunware and Griffon 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 Griffon are associated (or correlated) with Phunware. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Phunware has no effect on the direction of Griffon i.e., Griffon and Phunware go up and down completely randomly.
Pair Corralation between Griffon and Phunware
If you would invest 6,797 in Griffon on September 13, 2024 and sell it today you would earn a total of 1,142 from holding Griffon or generate 16.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 4.55% |
| Values | Daily Returns |
Griffon vs. Phunware
Performance |
| Timeline |
| Griffon |
| Phunware |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Griffon and Phunware Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Griffon and Phunware
The main advantage of trading using opposite Griffon and Phunware positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Griffon position performs unexpectedly, Phunware 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 Phunware will offset losses from the drop in Phunware's long position.| Griffon vs. Steel Partners Holdings | Griffon vs. Brookfield Business Partners | Griffon vs. Tejon Ranch Co | Griffon vs. Compass Diversified Holdings |
| Phunware vs. Four Seasons Education | Phunware vs. Live Ventures | Phunware vs. Smith Douglas Homes | Phunware vs. Daily Journal 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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |