Correlation Between Jastrzebska Spotka and GreenX Metals
Can any of the company-specific risk be diversified away by investing in both Jastrzebska Spotka and GreenX Metals 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 Jastrzebska Spotka and GreenX Metals into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jastrzebska Spotka Weglowa and GreenX Metals, you can compare the effects of market volatilities on Jastrzebska Spotka and GreenX Metals 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 Jastrzebska Spotka with a short position of GreenX Metals. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jastrzebska Spotka and GreenX Metals.
Diversification Opportunities for Jastrzebska Spotka and GreenX Metals
0.69 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Jastrzebska and GreenX is 0.69. Overlapping area represents the amount of risk that can be diversified away by holding Jastrzebska Spotka Weglowa and GreenX Metals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GreenX Metals and Jastrzebska Spotka 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 Jastrzebska Spotka Weglowa are associated (or correlated) with GreenX Metals. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GreenX Metals has no effect on the direction of Jastrzebska Spotka i.e., Jastrzebska Spotka and GreenX Metals go up and down completely randomly.
Pair Corralation between Jastrzebska Spotka and GreenX Metals
Assuming the 90 days trading horizon Jastrzebska Spotka Weglowa is expected to generate 0.6 times more return on investment than GreenX Metals. However, Jastrzebska Spotka Weglowa is 1.67 times less risky than GreenX Metals. It trades about 0.02 of its potential returns per unit of risk. GreenX Metals is currently generating about -0.01 per unit of risk. If you would invest 2,587 in Jastrzebska Spotka Weglowa on August 28, 2024 and sell it today you would earn a total of 15.00 from holding Jastrzebska Spotka Weglowa or generate 0.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jastrzebska Spotka Weglowa vs. GreenX Metals
Performance |
| Timeline |
| Jastrzebska Spotka |
| GreenX Metals |
Jastrzebska Spotka and GreenX Metals Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jastrzebska Spotka and GreenX Metals
The main advantage of trading using opposite Jastrzebska Spotka and GreenX Metals positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jastrzebska Spotka position performs unexpectedly, GreenX Metals 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 GreenX Metals will offset losses from the drop in GreenX Metals' long position.| Jastrzebska Spotka vs. SOFTWARE MANSION SPOLKA | Jastrzebska Spotka vs. PZ Cormay SA | Jastrzebska Spotka vs. Pixel Crow Games | Jastrzebska Spotka vs. GreenX Metals |
| GreenX Metals vs. Jastrzebska Spotka Weglowa | GreenX Metals vs. Asseco Business Solutions | GreenX Metals vs. Detalion Games SA | GreenX Metals vs. Asseco South Eastern |
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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Other Complementary Tools
| Stocks Directory Find actively traded stocks across global markets | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| 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 |