Correlation Between BRAGG GAMING and COMBA TELECOM
Can any of the company-specific risk be diversified away by investing in both BRAGG GAMING and COMBA TELECOM 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 BRAGG GAMING and COMBA TELECOM into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BRAGG GAMING GRP and COMBA TELECOM SYST, you can compare the effects of market volatilities on BRAGG GAMING and COMBA TELECOM 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 BRAGG GAMING with a short position of COMBA TELECOM. Check out your portfolio center. Please also check ongoing floating volatility patterns of BRAGG GAMING and COMBA TELECOM.
Diversification Opportunities for BRAGG GAMING and COMBA TELECOM
0.78 | Correlation Coefficient |
Poor diversification
The 3 months correlation between BRAGG and COMBA is 0.78. Overlapping area represents the amount of risk that can be diversified away by holding BRAGG GAMING GRP and COMBA TELECOM SYST in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on COMBA TELECOM SYST and BRAGG GAMING 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 BRAGG GAMING GRP are associated (or correlated) with COMBA TELECOM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of COMBA TELECOM SYST has no effect on the direction of BRAGG GAMING i.e., BRAGG GAMING and COMBA TELECOM go up and down completely randomly.
Pair Corralation between BRAGG GAMING and COMBA TELECOM
Assuming the 90 days horizon BRAGG GAMING GRP is expected to generate 2.22 times more return on investment than COMBA TELECOM. However, BRAGG GAMING is 2.22 times more volatile than COMBA TELECOM SYST. It trades about 0.16 of its potential returns per unit of risk. COMBA TELECOM SYST is currently generating about 0.21 per unit of risk. If you would invest 310.00 in BRAGG GAMING GRP on September 21, 2024 and sell it today you would earn a total of 42.00 from holding BRAGG GAMING GRP or generate 13.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
BRAGG GAMING GRP vs. COMBA TELECOM SYST
Performance |
| Timeline |
| BRAGG GAMING GRP |
| COMBA TELECOM SYST |
BRAGG GAMING and COMBA TELECOM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BRAGG GAMING and COMBA TELECOM
The main advantage of trading using opposite BRAGG GAMING and COMBA TELECOM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BRAGG GAMING position performs unexpectedly, COMBA TELECOM 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 COMBA TELECOM will offset losses from the drop in COMBA TELECOM's long position.| BRAGG GAMING vs. GAMING FAC SA | BRAGG GAMING vs. FUTURE GAMING GRP | BRAGG GAMING vs. PENN NATL GAMING | BRAGG GAMING vs. ANGLER GAMING PLC |
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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |