Correlation Between Oppenheimer Gold and First Eagle
Can any of the company-specific risk be diversified away by investing in both Oppenheimer Gold and First Eagle 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 Oppenheimer Gold and First Eagle into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oppenheimer Gold Spec and First Eagle Gold, you can compare the effects of market volatilities on Oppenheimer Gold and First Eagle 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 Oppenheimer Gold with a short position of First Eagle. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oppenheimer Gold and First Eagle.
Diversification Opportunities for Oppenheimer Gold and First Eagle
-0.53 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Oppenheimer and First is -0.53. Overlapping area represents the amount of risk that can be diversified away by holding Oppenheimer Gold Spec and First Eagle Gold in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on First Eagle Gold and Oppenheimer Gold 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 Oppenheimer Gold Spec are associated (or correlated) with First Eagle. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of First Eagle Gold has no effect on the direction of Oppenheimer Gold i.e., Oppenheimer Gold and First Eagle go up and down completely randomly.
Pair Corralation between Oppenheimer Gold and First Eagle
If you would invest 2,489 in First Eagle Gold on August 28, 2024 and sell it today you would earn a total of 0.00 from holding First Eagle Gold or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 4.55% |
| Values | Daily Returns |
Oppenheimer Gold Spec vs. First Eagle Gold
Performance |
| Timeline |
| Oppenheimer Gold Spec |
| First Eagle Gold |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Oppenheimer Gold and First Eagle Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oppenheimer Gold and First Eagle
The main advantage of trading using opposite Oppenheimer Gold and First Eagle positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oppenheimer Gold position performs unexpectedly, First Eagle 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 First Eagle will offset losses from the drop in First Eagle's long position.| Oppenheimer Gold vs. Versatile Bond Portfolio | Oppenheimer Gold vs. Chartwell Short Duration | Oppenheimer Gold vs. Limited Term Tax | Oppenheimer Gold vs. Oklahoma College Savings |
| First Eagle vs. Artisan Emerging Markets | First Eagle vs. Fundvantage Trust | First Eagle vs. Kinetics Spin Off And | First Eagle vs. Versatile Bond Portfolio |
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
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |