Correlation Between Playmaker Capital and Galaxy Gaming
Can any of the company-specific risk be diversified away by investing in both Playmaker Capital and Galaxy Gaming 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 Playmaker Capital and Galaxy Gaming into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Playmaker Capital and Galaxy Gaming, you can compare the effects of market volatilities on Playmaker Capital and Galaxy Gaming 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 Playmaker Capital with a short position of Galaxy Gaming. Check out your portfolio center. Please also check ongoing floating volatility patterns of Playmaker Capital and Galaxy Gaming.
Diversification Opportunities for Playmaker Capital and Galaxy Gaming
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Playmaker and Galaxy is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Playmaker Capital and Galaxy Gaming in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Galaxy Gaming and Playmaker Capital 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 Playmaker Capital are associated (or correlated) with Galaxy Gaming. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Galaxy Gaming has no effect on the direction of Playmaker Capital i.e., Playmaker Capital and Galaxy Gaming go up and down completely randomly.
Pair Corralation between Playmaker Capital and Galaxy Gaming
If you would invest 269.00 in Galaxy Gaming on August 28, 2024 and sell it today you would earn a total of 5.00 from holding Galaxy Gaming or generate 1.86% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.55% |
| Values | Daily Returns |
Playmaker Capital vs. Galaxy Gaming
Performance |
| Timeline |
| Playmaker Capital |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Galaxy Gaming |
Playmaker Capital and Galaxy Gaming Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Playmaker Capital and Galaxy Gaming
The main advantage of trading using opposite Playmaker Capital and Galaxy Gaming positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Playmaker Capital position performs unexpectedly, Galaxy Gaming 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 Galaxy Gaming will offset losses from the drop in Galaxy Gaming's long position.| Playmaker Capital vs. 888 Holdings | Playmaker Capital vs. Real Luck Group | Playmaker Capital vs. Royal Wins | Playmaker Capital vs. Betmakers Technology Group |
| Galaxy Gaming vs. Intema Solutions | Galaxy Gaming vs. 888 Holdings | Galaxy Gaming vs. Royal Wins | Galaxy Gaming vs. Real Luck Group |
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 Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Other Complementary Tools
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| 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 | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |