Correlation Between Jamieson Wellness and Primaris Retail
Can any of the company-specific risk be diversified away by investing in both Jamieson Wellness and Primaris Retail 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 Jamieson Wellness and Primaris Retail into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jamieson Wellness and Primaris Retail RE, you can compare the effects of market volatilities on Jamieson Wellness and Primaris Retail 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 Jamieson Wellness with a short position of Primaris Retail. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jamieson Wellness and Primaris Retail.
Diversification Opportunities for Jamieson Wellness and Primaris Retail
0.76 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Jamieson and Primaris is 0.76. Overlapping area represents the amount of risk that can be diversified away by holding Jamieson Wellness and Primaris Retail RE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Primaris Retail RE and Jamieson Wellness 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 Jamieson Wellness are associated (or correlated) with Primaris Retail. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Primaris Retail RE has no effect on the direction of Jamieson Wellness i.e., Jamieson Wellness and Primaris Retail go up and down completely randomly.
Pair Corralation between Jamieson Wellness and Primaris Retail
Assuming the 90 days trading horizon Jamieson Wellness is expected to generate 1.65 times more return on investment than Primaris Retail. However, Jamieson Wellness is 1.65 times more volatile than Primaris Retail RE. It trades about 0.09 of its potential returns per unit of risk. Primaris Retail RE is currently generating about -0.08 per unit of risk. If you would invest 3,511 in Jamieson Wellness on August 30, 2024 and sell it today you would earn a total of 185.00 from holding Jamieson Wellness or generate 5.27% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jamieson Wellness vs. Primaris Retail RE
Performance |
| Timeline |
| Jamieson Wellness |
| Primaris Retail RE |
Jamieson Wellness and Primaris Retail Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jamieson Wellness and Primaris Retail
The main advantage of trading using opposite Jamieson Wellness and Primaris Retail positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jamieson Wellness position performs unexpectedly, Primaris Retail 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 Primaris Retail will offset losses from the drop in Primaris Retail's long position.| Jamieson Wellness vs. Amazon CDR | Jamieson Wellness vs. Apple Inc CDR | Jamieson Wellness vs. Alphabet Inc CDR | Jamieson Wellness vs. Walmart Inc CDR |
| Primaris Retail vs. SmartCentres Real Estate | Primaris Retail vs. Dream Industrial Real | Primaris Retail vs. RioCan Real Estate | Primaris Retail vs. Algonquin Power Utilities |
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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
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 | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |