Correlation Between GRIFFIN MINING and Apple
Can any of the company-specific risk be diversified away by investing in both GRIFFIN MINING and Apple 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 GRIFFIN MINING and Apple into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between GRIFFIN MINING LTD and Apple Inc, you can compare the effects of market volatilities on GRIFFIN MINING and Apple 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 GRIFFIN MINING with a short position of Apple. Check out your portfolio center. Please also check ongoing floating volatility patterns of GRIFFIN MINING and Apple.
Diversification Opportunities for GRIFFIN MINING and Apple
0.18 | Correlation Coefficient |
Average diversification
The 3 months correlation between GRIFFIN and Apple is 0.18. Overlapping area represents the amount of risk that can be diversified away by holding GRIFFIN MINING LTD and Apple Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apple Inc and GRIFFIN MINING 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 GRIFFIN MINING LTD are associated (or correlated) with Apple. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apple Inc has no effect on the direction of GRIFFIN MINING i.e., GRIFFIN MINING and Apple go up and down completely randomly.
Pair Corralation between GRIFFIN MINING and Apple
Assuming the 90 days horizon GRIFFIN MINING LTD is expected to generate 1.57 times more return on investment than Apple. However, GRIFFIN MINING is 1.57 times more volatile than Apple Inc. It trades about 0.08 of its potential returns per unit of risk. Apple Inc is currently generating about 0.08 per unit of risk. If you would invest 81.00 in GRIFFIN MINING LTD on August 28, 2024 and sell it today you would earn a total of 89.00 from holding GRIFFIN MINING LTD or generate 109.88% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
GRIFFIN MINING LTD vs. Apple Inc
Performance |
| Timeline |
| GRIFFIN MINING LTD |
| Apple Inc |
GRIFFIN MINING and Apple Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GRIFFIN MINING and Apple
The main advantage of trading using opposite GRIFFIN MINING and Apple positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GRIFFIN MINING position performs unexpectedly, Apple 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 Apple will offset losses from the drop in Apple's long position.| GRIFFIN MINING vs. Apple Inc | GRIFFIN MINING vs. Apple Inc | GRIFFIN MINING vs. Apple Inc | GRIFFIN MINING vs. Apple Inc |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |