Correlation Between Willscot Mobile and Osiris Acquisition

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Willscot Mobile and Osiris Acquisition 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 Willscot Mobile and Osiris Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Willscot Mobile Mini and Osiris Acquisition Corp, you can compare the effects of market volatilities on Willscot Mobile and Osiris Acquisition 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 Willscot Mobile with a short position of Osiris Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Willscot Mobile and Osiris Acquisition.

Diversification Opportunities for Willscot Mobile and Osiris Acquisition

-0.29
  Correlation Coefficient

Very good diversification

The 3 months correlation between Willscot and Osiris is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding Willscot Mobile Mini and Osiris Acquisition Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Osiris Acquisition Corp and Willscot Mobile 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 Willscot Mobile Mini are associated (or correlated) with Osiris Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Osiris Acquisition Corp has no effect on the direction of Willscot Mobile i.e., Willscot Mobile and Osiris Acquisition go up and down completely randomly.

Pair Corralation between Willscot Mobile and Osiris Acquisition

If you would invest  3,938  in Willscot Mobile Mini on September 1, 2024 and sell it today you would lose (114.00) from holding Willscot Mobile Mini or give up 2.89% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthInsignificant
Accuracy0.79%
ValuesDaily Returns

Willscot Mobile Mini  vs.  Osiris Acquisition Corp

 Performance 
       Timeline  
Willscot Mobile Mini 

Risk-Adjusted Performance

2 of 100

 
Weak
 
Strong
Weak
Compared to the overall equity markets, risk-adjusted returns on investments in Willscot Mobile Mini are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of rather sound basic indicators, Willscot Mobile is not utilizing all of its potentials. The newest stock price tumult, may contribute to shorter-term losses for the shareholders.
Osiris Acquisition Corp 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Osiris Acquisition Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong basic indicators, Osiris Acquisition is not utilizing all of its potentials. The newest stock price confusion, may contribute to short-horizon losses for the traders.

Willscot Mobile and Osiris Acquisition Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Willscot Mobile and Osiris Acquisition

The main advantage of trading using opposite Willscot Mobile and Osiris Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Willscot Mobile position performs unexpectedly, Osiris Acquisition 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 Osiris Acquisition will offset losses from the drop in Osiris Acquisition's long position.
The idea behind Willscot Mobile Mini and Osiris Acquisition Corp 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.
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.

Other Complementary Tools

Price Ceiling Movement
Calculate and plot Price Ceiling Movement for different equity instruments
Volatility Analysis
Get historical volatility and risk analysis based on latest market data
Competition Analyzer
Analyze and compare many basic indicators for a group of related or unrelated entities
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Options Analysis
Analyze and evaluate options and option chains as a potential hedge for your portfolios