Correlation Between Kogeneracja and Gremi Media
Can any of the company-specific risk be diversified away by investing in both Kogeneracja and Gremi Media 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 Kogeneracja and Gremi Media into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kogeneracja SA and Gremi Media SA, you can compare the effects of market volatilities on Kogeneracja and Gremi Media 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 Kogeneracja with a short position of Gremi Media. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kogeneracja and Gremi Media.
Diversification Opportunities for Kogeneracja and Gremi Media
-0.89 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kogeneracja and Gremi is -0.89. Overlapping area represents the amount of risk that can be diversified away by holding Kogeneracja SA and Gremi Media SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gremi Media SA and Kogeneracja 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 Kogeneracja SA are associated (or correlated) with Gremi Media. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gremi Media SA has no effect on the direction of Kogeneracja i.e., Kogeneracja and Gremi Media go up and down completely randomly.
Pair Corralation between Kogeneracja and Gremi Media
Assuming the 90 days trading horizon Kogeneracja SA is expected to generate 0.49 times more return on investment than Gremi Media. However, Kogeneracja SA is 2.04 times less risky than Gremi Media. It trades about 0.07 of its potential returns per unit of risk. Gremi Media SA is currently generating about -0.09 per unit of risk. If you would invest 2,480 in Kogeneracja SA on September 3, 2024 and sell it today you would earn a total of 3,500 from holding Kogeneracja SA or generate 141.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 28.28% |
| Values | Daily Returns |
Kogeneracja SA vs. Gremi Media SA
Performance |
| Timeline |
| Kogeneracja SA |
| Gremi Media SA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Kogeneracja and Gremi Media Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kogeneracja and Gremi Media
The main advantage of trading using opposite Kogeneracja and Gremi Media positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kogeneracja position performs unexpectedly, Gremi Media 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 Gremi Media will offset losses from the drop in Gremi Media's long position.| Kogeneracja vs. Banco Santander SA | Kogeneracja vs. UniCredit SpA | Kogeneracja vs. CEZ as | Kogeneracja vs. Polski Koncern Naftowy |
| Gremi Media vs. Asseco Business Solutions | Gremi Media vs. Kogeneracja SA | Gremi Media vs. Asseco South Eastern | Gremi Media vs. Movie Games SA |
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
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |