Correlation Between Osisko Metals and Infinite Ore
Can any of the company-specific risk be diversified away by investing in both Osisko Metals and Infinite Ore 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 Osisko Metals and Infinite Ore into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Osisko Metals Incorporated and Infinite Ore Corp, you can compare the effects of market volatilities on Osisko Metals and Infinite Ore 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 Osisko Metals with a short position of Infinite Ore. Check out your portfolio center. Please also check ongoing floating volatility patterns of Osisko Metals and Infinite Ore.
Diversification Opportunities for Osisko Metals and Infinite Ore
-0.54 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Osisko and Infinite is -0.54. Overlapping area represents the amount of risk that can be diversified away by holding Osisko Metals Incorporated and Infinite Ore Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Infinite Ore Corp and Osisko Metals 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 Osisko Metals Incorporated are associated (or correlated) with Infinite Ore. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Infinite Ore Corp has no effect on the direction of Osisko Metals i.e., Osisko Metals and Infinite Ore go up and down completely randomly.
Pair Corralation between Osisko Metals and Infinite Ore
Assuming the 90 days horizon Osisko Metals Incorporated is expected to generate 0.46 times more return on investment than Infinite Ore. However, Osisko Metals Incorporated is 2.17 times less risky than Infinite Ore. It trades about 0.12 of its potential returns per unit of risk. Infinite Ore Corp is currently generating about 0.02 per unit of risk. If you would invest 16.00 in Osisko Metals Incorporated on August 29, 2024 and sell it today you would earn a total of 2.00 from holding Osisko Metals Incorporated or generate 12.5% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Osisko Metals Incorporated vs. Infinite Ore Corp
Performance |
| Timeline |
| Osisko Metals |
| Infinite Ore Corp |
Osisko Metals and Infinite Ore Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Osisko Metals and Infinite Ore
The main advantage of trading using opposite Osisko Metals and Infinite Ore positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Osisko Metals position performs unexpectedly, Infinite Ore 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 Infinite Ore will offset losses from the drop in Infinite Ore's long position.| Osisko Metals vs. C3 Metals | Osisko Metals vs. Syrah Resources Limited | Osisko Metals vs. Saint Jean Carbon | Osisko Metals vs. Volt Lithium Corp |
| Infinite Ore vs. Rockridge Resources | Infinite Ore vs. Ameriwest Lithium | Infinite Ore vs. Osisko Metals Incorporated | Infinite Ore vs. Volt Lithium 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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |