Correlation Between Molekule and Griffon
Can any of the company-specific risk be diversified away by investing in both Molekule and Griffon 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 Molekule and Griffon into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Molekule Group and Griffon, you can compare the effects of market volatilities on Molekule and Griffon 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 Molekule with a short position of Griffon. Check out your portfolio center. Please also check ongoing floating volatility patterns of Molekule and Griffon.
Diversification Opportunities for Molekule and Griffon
Pay attention - limited upside
The 3 months correlation between Molekule and Griffon is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Molekule Group and Griffon in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Griffon and Molekule 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 Molekule Group are associated (or correlated) with Griffon. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Griffon has no effect on the direction of Molekule i.e., Molekule and Griffon go up and down completely randomly.
Pair Corralation between Molekule and Griffon
If you would invest 6,466 in Griffon on September 12, 2024 and sell it today you would earn a total of 1,519 from holding Griffon or generate 23.49% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 1.56% |
| Values | Daily Returns |
Molekule Group vs. Griffon
Performance |
| Timeline |
| Molekule Group |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Griffon |
Molekule and Griffon Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Molekule and Griffon
The main advantage of trading using opposite Molekule and Griffon positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Molekule position performs unexpectedly, Griffon 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 Griffon will offset losses from the drop in Griffon's long position.| Molekule vs. Vistra Energy Corp | Molekule vs. Black Hills | Molekule vs. Dave Busters Entertainment | Molekule vs. Kenon Holdings |
| Griffon vs. Steel Partners Holdings | Griffon vs. Brookfield Business Partners | Griffon vs. Tejon Ranch Co | Griffon vs. Compass Diversified Holdings |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance |