Correlation Between MAGNUM MINING and AMAG Austria
Can any of the company-specific risk be diversified away by investing in both MAGNUM MINING and AMAG Austria 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 AMAG Austria 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 AMAG Austria Metall, you can compare the effects of market volatilities on MAGNUM MINING and AMAG Austria 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 AMAG Austria. Check out your portfolio center. Please also check ongoing floating volatility patterns of MAGNUM MINING and AMAG Austria.
Diversification Opportunities for MAGNUM MINING and AMAG Austria
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between MAGNUM and AMAG is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding MAGNUM MINING EXP and AMAG Austria Metall in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AMAG Austria Metall 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 AMAG Austria. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AMAG Austria Metall has no effect on the direction of MAGNUM MINING i.e., MAGNUM MINING and AMAG Austria go up and down completely randomly.
Pair Corralation between MAGNUM MINING and AMAG Austria
If you would invest 6.08 in MAGNUM MINING EXP on November 7, 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. AMAG Austria Metall
Performance |
| Timeline |
| MAGNUM MINING EXP |
| AMAG Austria Metall |
MAGNUM MINING and AMAG Austria Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MAGNUM MINING and AMAG Austria
The main advantage of trading using opposite MAGNUM MINING and AMAG Austria positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MAGNUM MINING position performs unexpectedly, AMAG Austria 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 AMAG Austria will offset losses from the drop in AMAG Austria's long position.| MAGNUM MINING vs. ARDAGH METAL PACDL 0001 | MAGNUM MINING vs. Zijin Mining Group | MAGNUM MINING vs. Calibre Mining Corp | MAGNUM MINING vs. GALENA MINING LTD |
| AMAG Austria vs. Norsk Hydro ASA | AMAG Austria vs. Norsk Hydro ASA | AMAG Austria vs. Aluminum of | AMAG Austria vs. Alcoa Corp |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
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