Correlation Between BRAGG GAMING and GigaMedia

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both BRAGG GAMING and GigaMedia 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 GigaMedia 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 GigaMedia, you can compare the effects of market volatilities on BRAGG GAMING and GigaMedia 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 GigaMedia. Check out your portfolio center. Please also check ongoing floating volatility patterns of BRAGG GAMING and GigaMedia.

Diversification Opportunities for BRAGG GAMING and GigaMedia

-0.84
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between BRAGG and GigaMedia is -0.84. Overlapping area represents the amount of risk that can be diversified away by holding BRAGG GAMING GRP and GigaMedia in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GigaMedia 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 GigaMedia. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GigaMedia has no effect on the direction of BRAGG GAMING i.e., BRAGG GAMING and GigaMedia go up and down completely randomly.

Pair Corralation between BRAGG GAMING and GigaMedia

Assuming the 90 days horizon BRAGG GAMING GRP is expected to under-perform the GigaMedia. In addition to that, BRAGG GAMING is 2.45 times more volatile than GigaMedia. It trades about -0.06 of its total potential returns per unit of risk. GigaMedia is currently generating about 0.12 per unit of volatility. If you would invest  114.00  in GigaMedia on September 21, 2024 and sell it today you would earn a total of  20.00  from holding GigaMedia or generate 17.54% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns

BRAGG GAMING GRP  vs.  GigaMedia

 Performance 
       Timeline  
BRAGG GAMING GRP 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days BRAGG GAMING GRP has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Stock's basic indicators remain nearly stable which may send shares a bit higher in January 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.
GigaMedia 

Risk-Adjusted Performance

10 of 100

 
Weak
 
Strong
OK
Compared to the overall equity markets, risk-adjusted returns on investments in GigaMedia are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively fragile basic indicators, GigaMedia unveiled solid returns over the last few months and may actually be approaching a breakup point.

BRAGG GAMING and GigaMedia Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with BRAGG GAMING and GigaMedia

The main advantage of trading using opposite BRAGG GAMING and GigaMedia positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BRAGG GAMING position performs unexpectedly, GigaMedia 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 GigaMedia will offset losses from the drop in GigaMedia'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
The idea behind BRAGG GAMING GRP and GigaMedia pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
GigaMedia vs. ASSOC BR FOODS
GigaMedia vs. TYSON FOODS A
GigaMedia vs. ORMAT TECHNOLOGIES
GigaMedia vs. Amkor Technology
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 Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.

Other Complementary Tools

Technical Analysis
Check basic technical indicators and analysis based on most latest market data
ETFs
Find actively traded Exchange Traded Funds (ETF) from around the world
AI Portfolio Architect
Use AI to generate optimal portfolios and find profitable investment opportunities
Portfolio Rebalancing
Analyze risk-adjusted returns against different time horizons to find asset-allocation targets
Risk-Return Analysis
View associations between returns expected from investment and the risk you assume


 
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2024 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY