Correlation Between Real Good and Grand Havana
Can any of the company-specific risk be diversified away by investing in both Real Good and Grand Havana 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 Real Good and Grand Havana into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Real Good Food and Grand Havana, you can compare the effects of market volatilities on Real Good and Grand Havana 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 Real Good with a short position of Grand Havana. Check out your portfolio center. Please also check ongoing floating volatility patterns of Real Good and Grand Havana.
Diversification Opportunities for Real Good and Grand Havana
-0.13 | Correlation Coefficient |
Good diversification
The 3 months correlation between Real and Grand is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Real Good Food and Grand Havana in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Grand Havana and Real Good 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 Real Good Food are associated (or correlated) with Grand Havana. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Grand Havana has no effect on the direction of Real Good i.e., Real Good and Grand Havana go up and down completely randomly.
Pair Corralation between Real Good and Grand Havana
Considering the 90-day investment horizon Real Good Food is expected to generate 15.91 times more return on investment than Grand Havana. However, Real Good is 15.91 times more volatile than Grand Havana. It trades about 0.13 of its potential returns per unit of risk. Grand Havana is currently generating about 0.13 per unit of risk. If you would invest 377.00 in Real Good Food on November 3, 2024 and sell it today you would lose (363.00) from holding Real Good Food or give up 96.29% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 50.0% |
| Values | Daily Returns |
Real Good Food vs. Grand Havana
Performance |
| Timeline |
| Real Good Food |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Weak
| Grand Havana |
Real Good and Grand Havana Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Real Good and Grand Havana
The main advantage of trading using opposite Real Good and Grand Havana positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Real Good position performs unexpectedly, Grand Havana 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 Grand Havana will offset losses from the drop in Grand Havana's long position.| Real Good vs. Seneca Foods Corp | Real Good vs. Central Garden Pet | Real Good vs. Central Garden Pet | Real Good vs. Natures Sunshine Products |
| Grand Havana vs. Right On Brands | Grand Havana vs. BioAdaptives | Grand Havana vs. Yuenglings Ice Cream | Grand Havana vs. Bit Origin |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing |