Correlation Between GLG Life and AppHarvest
Can any of the company-specific risk be diversified away by investing in both GLG Life and AppHarvest 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 GLG Life and AppHarvest into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between GLG Life Tech and AppHarvest, you can compare the effects of market volatilities on GLG Life and AppHarvest 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 GLG Life with a short position of AppHarvest. Check out your portfolio center. Please also check ongoing floating volatility patterns of GLG Life and AppHarvest.
Diversification Opportunities for GLG Life and AppHarvest
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between GLG and AppHarvest is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding GLG Life Tech and AppHarvest in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AppHarvest and GLG Life 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 GLG Life Tech are associated (or correlated) with AppHarvest. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AppHarvest has no effect on the direction of GLG Life i.e., GLG Life and AppHarvest go up and down completely randomly.
Pair Corralation between GLG Life and AppHarvest
If you would invest 4.82 in GLG Life Tech on November 6, 2024 and sell it today you would earn a total of 0.00 from holding GLG Life Tech or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.91% |
| Values | Daily Returns |
GLG Life Tech vs. AppHarvest
Performance |
| Timeline |
| GLG Life Tech |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| AppHarvest |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
GLG Life and AppHarvest Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GLG Life and AppHarvest
The main advantage of trading using opposite GLG Life and AppHarvest positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GLG Life position performs unexpectedly, AppHarvest 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 AppHarvest will offset losses from the drop in AppHarvest's long position.| GLG Life vs. Golden Agri Resources | GLG Life vs. Edible Garden AG | GLG Life vs. Vital Farms | GLG Life vs. Local Bounti 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 Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Other Complementary Tools
| Transaction History View history of all your transactions and understand their impact on performance | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities |