Correlation Between Kirkland Lake and Gold Reserve
Can any of the company-specific risk be diversified away by investing in both Kirkland Lake and Gold Reserve 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 Kirkland Lake and Gold Reserve into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kirkland Lake Gold and Gold Reserve, you can compare the effects of market volatilities on Kirkland Lake and Gold Reserve 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 Kirkland Lake with a short position of Gold Reserve. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kirkland Lake and Gold Reserve.
Diversification Opportunities for Kirkland Lake and Gold Reserve
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Kirkland and Gold is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Kirkland Lake Gold and Gold Reserve in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gold Reserve and Kirkland Lake 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 Kirkland Lake Gold are associated (or correlated) with Gold Reserve. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gold Reserve has no effect on the direction of Kirkland Lake i.e., Kirkland Lake and Gold Reserve go up and down completely randomly.
Pair Corralation between Kirkland Lake and Gold Reserve
If you would invest 301.00 in Gold Reserve on January 27, 2024 and sell it today you would earn a total of 11.00 from holding Gold Reserve or generate 3.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Kirkland Lake Gold vs. Gold Reserve
Performance |
| Timeline |
| Kirkland Lake Gold |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Gold Reserve |
Kirkland Lake and Gold Reserve Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kirkland Lake and Gold Reserve
The main advantage of trading using opposite Kirkland Lake and Gold Reserve positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kirkland Lake position performs unexpectedly, Gold Reserve 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 Gold Reserve will offset losses from the drop in Gold Reserve's long position.| Kirkland Lake vs. Digi International | Kirkland Lake vs. National CineMedia | Kirkland Lake vs. Reservoir Media | Kirkland Lake vs. NETGEAR |
| Gold Reserve vs. HP Inc | Gold Reserve vs. Frontline | Gold Reserve vs. Johnson Johnson | Gold Reserve vs. Walmart |
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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
Other Complementary Tools
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |