Correlation Between New Wave and Genius Brands
Can any of the company-specific risk be diversified away by investing in both New Wave and Genius Brands 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 New Wave and Genius Brands into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between New Wave Holdings and Genius Brands International, you can compare the effects of market volatilities on New Wave and Genius Brands 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 New Wave with a short position of Genius Brands. Check out your portfolio center. Please also check ongoing floating volatility patterns of New Wave and Genius Brands.
Diversification Opportunities for New Wave and Genius Brands
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between New and Genius is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding New Wave Holdings and Genius Brands International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Genius Brands Intern and New Wave 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 New Wave Holdings are associated (or correlated) with Genius Brands. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Genius Brands Intern has no effect on the direction of New Wave i.e., New Wave and Genius Brands go up and down completely randomly.
Pair Corralation between New Wave and Genius Brands
If you would invest 1.10 in New Wave Holdings on November 28, 2024 and sell it today you would earn a total of 0.16 from holding New Wave Holdings or generate 14.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
New Wave Holdings vs. Genius Brands International
Performance |
| Timeline |
| New Wave Holdings |
| Genius Brands Intern |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
New Wave and Genius Brands Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with New Wave and Genius Brands
The main advantage of trading using opposite New Wave and Genius Brands positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if New Wave position performs unexpectedly, Genius Brands 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 Genius Brands will offset losses from the drop in Genius Brands' long position.| New Wave vs. OverActive Media Corp | New Wave vs. Network Media Group | New Wave vs. Celtic plc | New Wave vs. Guild Esports Plc |
| Genius Brands vs. Cineverse Corp | Genius Brands vs. LiveOne | Genius Brands vs. Hall of Fame | Genius Brands vs. Netflix |
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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. |