Correlation Between Gabelli Media and Comstock Capital
Can any of the company-specific risk be diversified away by investing in both Gabelli Media and Comstock Capital 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 Gabelli Media and Comstock Capital into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Gabelli Media Mogul and Comstock Capital Value, you can compare the effects of market volatilities on Gabelli Media and Comstock Capital 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 Gabelli Media with a short position of Comstock Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Gabelli Media and Comstock Capital.
Diversification Opportunities for Gabelli Media and Comstock Capital
0.82 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Gabelli and Comstock is 0.82. Overlapping area represents the amount of risk that can be diversified away by holding Gabelli Media Mogul and Comstock Capital Value in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Comstock Capital Value and Gabelli Media 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 Gabelli Media Mogul are associated (or correlated) with Comstock Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Comstock Capital Value has no effect on the direction of Gabelli Media i.e., Gabelli Media and Comstock Capital go up and down completely randomly.
Pair Corralation between Gabelli Media and Comstock Capital
Assuming the 90 days horizon Gabelli Media Mogul is expected to generate 3.78 times more return on investment than Comstock Capital. However, Gabelli Media is 3.78 times more volatile than Comstock Capital Value. It trades about 0.03 of its potential returns per unit of risk. Comstock Capital Value is currently generating about 0.08 per unit of risk. If you would invest 847.00 in Gabelli Media Mogul on August 29, 2024 and sell it today you would earn a total of 116.00 from holding Gabelli Media Mogul or generate 13.7% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Gabelli Media Mogul vs. Comstock Capital Value
Performance |
| Timeline |
| Gabelli Media Mogul |
| Comstock Capital Value |
Gabelli Media and Comstock Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Gabelli Media and Comstock Capital
The main advantage of trading using opposite Gabelli Media and Comstock Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Gabelli Media position performs unexpectedly, Comstock Capital 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 Comstock Capital will offset losses from the drop in Comstock Capital's long position.| Gabelli Media vs. Technology Fund Investor | Gabelli Media vs. Health Care Fund | Gabelli Media vs. Financial Services Fund | Gabelli Media vs. Banking Fund Investor |
| Comstock Capital vs. Blackrock High Yield | Comstock Capital vs. Calvert High Yield | Comstock Capital vs. Ppm High Yield | Comstock Capital vs. American Century High |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas |