Correlation Between GALENA MINING and Selective Insurance
Can any of the company-specific risk be diversified away by investing in both GALENA MINING and Selective Insurance 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 Selective Insurance 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 Selective Insurance Group, you can compare the effects of market volatilities on GALENA MINING and Selective Insurance 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 Selective Insurance. Check out your portfolio center. Please also check ongoing floating volatility patterns of GALENA MINING and Selective Insurance.
Diversification Opportunities for GALENA MINING and Selective Insurance
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between GALENA and Selective is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding GALENA MINING LTD and Selective Insurance Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Selective Insurance 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 Selective Insurance. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Selective Insurance has no effect on the direction of GALENA MINING i.e., GALENA MINING and Selective Insurance go up and down completely randomly.
Pair Corralation between GALENA MINING and Selective Insurance
If you would invest 8,665 in Selective Insurance Group on August 25, 2024 and sell it today you would earn a total of 35.00 from holding Selective Insurance Group or generate 0.4% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.65% |
| Values | Daily Returns |
GALENA MINING LTD vs. Selective Insurance Group
Performance |
| Timeline |
| GALENA MINING LTD |
| Selective Insurance |
GALENA MINING and Selective Insurance Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GALENA MINING and Selective Insurance
The main advantage of trading using opposite GALENA MINING and Selective Insurance positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GALENA MINING position performs unexpectedly, Selective Insurance 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 Selective Insurance will offset losses from the drop in Selective Insurance's long position.| GALENA MINING vs. Mineral Resources Limited | GALENA MINING vs. ADRIATIC METALS LS 013355 | GALENA MINING vs. Superior Plus Corp | GALENA MINING vs. NMI Holdings |
| Selective Insurance vs. Pembina Pipeline Corp | Selective Insurance vs. Merit Medical Systems | Selective Insurance vs. MeVis Medical Solutions | Selective Insurance vs. Clearside Biomedical |
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 Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Other Complementary Tools
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |