Correlation Between MCEWEN MINING and Progressive Corp
Can any of the company-specific risk be diversified away by investing in both MCEWEN MINING and Progressive 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 MCEWEN MINING and Progressive Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between MCEWEN MINING INC and Progressive Corp, you can compare the effects of market volatilities on MCEWEN MINING and Progressive 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 MCEWEN MINING with a short position of Progressive Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of MCEWEN MINING and Progressive Corp.
Diversification Opportunities for MCEWEN MINING and Progressive Corp
-0.58 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between MCEWEN and Progressive is -0.58. Overlapping area represents the amount of risk that can be diversified away by holding MCEWEN MINING INC and Progressive Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Progressive Corp and MCEWEN 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 MCEWEN MINING INC are associated (or correlated) with Progressive Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Progressive Corp has no effect on the direction of MCEWEN MINING i.e., MCEWEN MINING and Progressive Corp go up and down completely randomly.
Pair Corralation between MCEWEN MINING and Progressive Corp
Assuming the 90 days horizon MCEWEN MINING INC is expected to generate 2.84 times more return on investment than Progressive Corp. However, MCEWEN MINING is 2.84 times more volatile than Progressive Corp. It trades about 0.17 of its potential returns per unit of risk. Progressive Corp is currently generating about -0.15 per unit of risk. If you would invest 750.00 in MCEWEN MINING INC on October 20, 2024 and sell it today you would earn a total of 55.00 from holding MCEWEN MINING INC or generate 7.33% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
MCEWEN MINING INC vs. Progressive Corp
Performance |
| Timeline |
| MCEWEN MINING INC |
| Progressive Corp |
MCEWEN MINING and Progressive Corp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MCEWEN MINING and Progressive Corp
The main advantage of trading using opposite MCEWEN MINING and Progressive Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MCEWEN MINING position performs unexpectedly, Progressive 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 Progressive Corp will offset losses from the drop in Progressive Corp's long position.| MCEWEN MINING vs. LOANDEPOT INC A | MCEWEN MINING vs. Canon Marketing Japan | MCEWEN MINING vs. H2O Retailing | MCEWEN MINING vs. Indutrade AB |
| Progressive Corp vs. UNIVMUSIC GRPADR050 | Progressive Corp vs. MCEWEN MINING INC | Progressive Corp vs. Eurasia Mining Plc | Progressive Corp vs. Goosehead Insurance |
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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins |