Correlation Between WiMi Hologram and Mayfair Gold
Can any of the company-specific risk be diversified away by investing in both WiMi Hologram and Mayfair Gold 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 WiMi Hologram and Mayfair Gold into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between WiMi Hologram Cloud and Mayfair Gold Corp, you can compare the effects of market volatilities on WiMi Hologram and Mayfair Gold 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 WiMi Hologram with a short position of Mayfair Gold. Check out your portfolio center. Please also check ongoing floating volatility patterns of WiMi Hologram and Mayfair Gold.
Diversification Opportunities for WiMi Hologram and Mayfair Gold
0.38 | Correlation Coefficient |
Weak diversification
The 3 months correlation between WiMi and Mayfair is 0.38. Overlapping area represents the amount of risk that can be diversified away by holding WiMi Hologram Cloud and Mayfair Gold Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mayfair Gold Corp and WiMi Hologram 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 WiMi Hologram Cloud are associated (or correlated) with Mayfair Gold. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mayfair Gold Corp has no effect on the direction of WiMi Hologram i.e., WiMi Hologram and Mayfair Gold go up and down completely randomly.
Pair Corralation between WiMi Hologram and Mayfair Gold
Given the investment horizon of 90 days WiMi Hologram Cloud is expected to generate 2.83 times more return on investment than Mayfair Gold. However, WiMi Hologram is 2.83 times more volatile than Mayfair Gold Corp. It trades about 0.04 of its potential returns per unit of risk. Mayfair Gold Corp is currently generating about 0.03 per unit of risk. If you would invest 85.00 in WiMi Hologram Cloud on September 12, 2024 and sell it today you would earn a total of 1.80 from holding WiMi Hologram Cloud or generate 2.12% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 99.8% |
| Values | Daily Returns |
WiMi Hologram Cloud vs. Mayfair Gold Corp
Performance |
| Timeline |
| WiMi Hologram Cloud |
| Mayfair Gold Corp |
WiMi Hologram and Mayfair Gold Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with WiMi Hologram and Mayfair Gold
The main advantage of trading using opposite WiMi Hologram and Mayfair Gold positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if WiMi Hologram position performs unexpectedly, Mayfair Gold 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 Mayfair Gold will offset losses from the drop in Mayfair Gold's long position.| WiMi Hologram vs. National CineMedia | WiMi Hologram vs. Baosheng Media Group | WiMi Hologram vs. Townsquare Media | WiMi Hologram vs. Dolphin Entertainment |
| Mayfair Gold vs. Agnico Eagle Mines | Mayfair Gold vs. B2Gold Corp | Mayfair Gold vs. Pan American Silver | Mayfair Gold vs. Gold Fields Ltd |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
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