Correlation Between Atea ASA and GALENA MINING
Can any of the company-specific risk be diversified away by investing in both Atea ASA and GALENA MINING 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 Atea ASA and GALENA MINING into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Atea ASA and GALENA MINING LTD, you can compare the effects of market volatilities on Atea ASA and GALENA MINING 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 Atea ASA with a short position of GALENA MINING. Check out your portfolio center. Please also check ongoing floating volatility patterns of Atea ASA and GALENA MINING.
Diversification Opportunities for Atea ASA and GALENA MINING
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Atea and GALENA is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Atea ASA and GALENA MINING LTD in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GALENA MINING LTD and Atea ASA 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 Atea ASA are associated (or correlated) with GALENA MINING. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GALENA MINING LTD has no effect on the direction of Atea ASA i.e., Atea ASA and GALENA MINING go up and down completely randomly.
Pair Corralation between Atea ASA and GALENA MINING
If you would invest 805.00 in Atea ASA on September 14, 2024 and sell it today you would earn a total of 397.00 from holding Atea ASA or generate 49.32% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.45% |
| Values | Daily Returns |
Atea ASA vs. GALENA MINING LTD
Performance |
| Timeline |
| Atea ASA |
| GALENA MINING LTD |
Atea ASA and GALENA MINING Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Atea ASA and GALENA MINING
The main advantage of trading using opposite Atea ASA and GALENA MINING positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Atea ASA position performs unexpectedly, GALENA MINING 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 GALENA MINING will offset losses from the drop in GALENA MINING's long position.| Atea ASA vs. Automatic Data Processing | Atea ASA vs. Public Storage | Atea ASA vs. FAST RETAIL ADR | Atea ASA vs. CANON MARKETING JP |
| GALENA MINING vs. American Lithium Corp | GALENA MINING vs. ADRIATIC METALS LS 013355 | GALENA MINING vs. Superior Plus Corp | GALENA MINING vs. SIVERS SEMICONDUCTORS AB |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Other Complementary Tools
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |