Correlation Between Molson Coors and Selina Hospitality
Can any of the company-specific risk be diversified away by investing in both Molson Coors and Selina Hospitality 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 Molson Coors and Selina Hospitality into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Molson Coors Brewing and Selina Hospitality PLC, you can compare the effects of market volatilities on Molson Coors and Selina Hospitality 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 Molson Coors with a short position of Selina Hospitality. Check out your portfolio center. Please also check ongoing floating volatility patterns of Molson Coors and Selina Hospitality.
Diversification Opportunities for Molson Coors and Selina Hospitality
0.12 | Correlation Coefficient |
Average diversification
The 3 months correlation between Molson and Selina is 0.12. Overlapping area represents the amount of risk that can be diversified away by holding Molson Coors Brewing and Selina Hospitality PLC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Selina Hospitality PLC and Molson Coors 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 Molson Coors Brewing are associated (or correlated) with Selina Hospitality. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Selina Hospitality PLC has no effect on the direction of Molson Coors i.e., Molson Coors and Selina Hospitality go up and down completely randomly.
Pair Corralation between Molson Coors and Selina Hospitality
If you would invest 5,571 in Molson Coors Brewing on September 5, 2024 and sell it today you would earn a total of 577.00 from holding Molson Coors Brewing or generate 10.36% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 4.76% |
| Values | Daily Returns |
Molson Coors Brewing vs. Selina Hospitality PLC
Performance |
| Timeline |
| Molson Coors Brewing |
| Selina Hospitality PLC |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Molson Coors and Selina Hospitality Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Molson Coors and Selina Hospitality
The main advantage of trading using opposite Molson Coors and Selina Hospitality positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Molson Coors position performs unexpectedly, Selina Hospitality 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 Selina Hospitality will offset losses from the drop in Selina Hospitality's long position.| Molson Coors vs. Budweiser Brewing | Molson Coors vs. Boston Beer | Molson Coors vs. Anheuser Busch InBev SANV | Molson Coors vs. Ambev SA ADR |
| Selina Hospitality vs. Dave Busters Entertainment | Selina Hospitality vs. Mediag3 | Selina Hospitality vs. Playtech plc | Selina Hospitality vs. Academy Sports Outdoors |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |