Correlation Between GALENA MINING and MBANK
Can any of the company-specific risk be diversified away by investing in both GALENA MINING and MBANK 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 GALENA MINING and MBANK into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between GALENA MINING LTD and MBANK, you can compare the effects of market volatilities on GALENA MINING and MBANK 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 GALENA MINING with a short position of MBANK. Check out your portfolio center. Please also check ongoing floating volatility patterns of GALENA MINING and MBANK.
Diversification Opportunities for GALENA MINING and MBANK
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between GALENA and MBANK is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding GALENA MINING LTD and MBANK in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MBANK and GALENA 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 GALENA MINING LTD are associated (or correlated) with MBANK. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MBANK has no effect on the direction of GALENA MINING i.e., GALENA MINING and MBANK go up and down completely randomly.
Pair Corralation between GALENA MINING and MBANK
If you would invest 13,635 in MBANK on October 26, 2024 and sell it today you would lose (385.00) from holding MBANK or give up 2.82% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 98.4% |
| Values | Daily Returns |
GALENA MINING LTD vs. MBANK
Performance |
| Timeline |
| GALENA MINING LTD |
| MBANK |
GALENA MINING and MBANK Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GALENA MINING and MBANK
The main advantage of trading using opposite GALENA MINING and MBANK positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GALENA MINING position performs unexpectedly, MBANK 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 MBANK will offset losses from the drop in MBANK's long position.| GALENA MINING vs. Rio Tinto Group | GALENA MINING vs. Anglo American plc | GALENA MINING vs. Mineral Resources Limited | GALENA MINING vs. NEXA RESOURCES SA |
| MBANK vs. ARISTOCRAT LEISURE | MBANK vs. Harmony Gold Mining | MBANK vs. GALENA MINING LTD | MBANK vs. TRAVEL LEISURE DL 01 |
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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities |