Correlation Between STGEORGE MINING and GameStop Corp
Can any of the company-specific risk be diversified away by investing in both STGEORGE MINING and GameStop Corp 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 STGEORGE MINING and GameStop Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between STGEORGE MINING LTD and GameStop Corp, you can compare the effects of market volatilities on STGEORGE MINING and GameStop Corp 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 STGEORGE MINING with a short position of GameStop Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of STGEORGE MINING and GameStop Corp.
Diversification Opportunities for STGEORGE MINING and GameStop Corp
-0.4 | Correlation Coefficient |
Very good diversification
The 3 months correlation between STGEORGE and GameStop is -0.4. Overlapping area represents the amount of risk that can be diversified away by holding STGEORGE MINING LTD and GameStop Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GameStop Corp and STGEORGE MINING 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 STGEORGE MINING LTD are associated (or correlated) with GameStop Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GameStop Corp has no effect on the direction of STGEORGE MINING i.e., STGEORGE MINING and GameStop Corp go up and down completely randomly.
Pair Corralation between STGEORGE MINING and GameStop Corp
Assuming the 90 days horizon STGEORGE MINING LTD is expected to generate 3.78 times more return on investment than GameStop Corp. However, STGEORGE MINING is 3.78 times more volatile than GameStop Corp. It trades about 0.04 of its potential returns per unit of risk. GameStop Corp is currently generating about 0.06 per unit of risk. If you would invest 1.55 in STGEORGE MINING LTD on October 26, 2024 and sell it today you would lose (0.40) from holding STGEORGE MINING LTD or give up 25.81% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
STGEORGE MINING LTD vs. GameStop Corp
Performance |
| Timeline |
| STGEORGE MINING LTD |
| GameStop Corp |
STGEORGE MINING and GameStop Corp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with STGEORGE MINING and GameStop Corp
The main advantage of trading using opposite STGEORGE MINING and GameStop Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if STGEORGE MINING position performs unexpectedly, GameStop Corp 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 GameStop Corp will offset losses from the drop in GameStop Corp's long position.| STGEORGE MINING vs. BHP Group Limited | STGEORGE MINING vs. BHP Group Limited | STGEORGE MINING vs. Rio Tinto Group | STGEORGE MINING vs. Vale SA |
| GameStop Corp vs. ANGLO ASIAN MINING | GameStop Corp vs. Eurasia Mining Plc | GameStop Corp vs. De Grey Mining | GameStop Corp vs. STGEORGE MINING LTD |
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 Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Other Complementary Tools
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |