Correlation Between MAGNUM MINING and Western Copper
Can any of the company-specific risk be diversified away by investing in both MAGNUM MINING and Western Copper 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 MAGNUM MINING and Western Copper into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between MAGNUM MINING EXP and Western Copper and, you can compare the effects of market volatilities on MAGNUM MINING and Western Copper 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 MAGNUM MINING with a short position of Western Copper. Check out your portfolio center. Please also check ongoing floating volatility patterns of MAGNUM MINING and Western Copper.
Diversification Opportunities for MAGNUM MINING and Western Copper
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between MAGNUM and Western is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding MAGNUM MINING EXP and Western Copper and in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Western Copper and MAGNUM 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 MAGNUM MINING EXP are associated (or correlated) with Western Copper. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Western Copper has no effect on the direction of MAGNUM MINING i.e., MAGNUM MINING and Western Copper go up and down completely randomly.
Pair Corralation between MAGNUM MINING and Western Copper
If you would invest 6.08 in MAGNUM MINING EXP on October 11, 2024 and sell it today you would earn a total of 0.00 from holding MAGNUM MINING EXP or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
MAGNUM MINING EXP vs. Western Copper and
Performance |
| Timeline |
| MAGNUM MINING EXP |
| Western Copper |
MAGNUM MINING and Western Copper Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MAGNUM MINING and Western Copper
The main advantage of trading using opposite MAGNUM MINING and Western Copper positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MAGNUM MINING position performs unexpectedly, Western Copper 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 Western Copper will offset losses from the drop in Western Copper's long position.| MAGNUM MINING vs. Caseys General Stores | MAGNUM MINING vs. MidCap Financial Investment | MAGNUM MINING vs. Virtus Investment Partners | MAGNUM MINING vs. AEON STORES |
| Western Copper vs. MAGNUM MINING EXP | Western Copper vs. Forsys Metals Corp | Western Copper vs. Mitsui Chemicals | Western Copper vs. GREENX METALS LTD |
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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |