Pair Correlation Between Energy Today and Otis Gold

This module allows you to analyze existing cross correlation between Energy Today Inc and Otis Gold Corp. You can compare the effects of market volatilities on Energy Today and Otis 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 Energy Today with a short position of Otis Gold. See also your portfolio center. Please also check ongoing floating volatility patterns of Energy Today and Otis Gold.
 Time Horizon     30 Days    Login   to change
Symbolsvs
 Energy Today Inc  vs   Otis Gold Corp
 Performance (%) 
      Timeline 

Pair Volatility

Given the investment horizon of 30 days, Energy Today Inc is expected to under-perform the Otis Gold. But the stock apears to be less risky and, when comparing its historical volatility, Energy Today Inc is 1.18 times less risky than Otis Gold. The stock trades about -0.45 of its potential returns per unit of risk. The Otis Gold Corp is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest  17.00  in Otis Gold Corp on January 25, 2018 and sell it today you would earn a total of  0.50  from holding Otis Gold Corp or generate 2.94% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Energy Today and Otis Gold
0.79

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthSignificant
Accuracy27.78%
ValuesDaily Returns

Diversification

Poor diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Otis Gold Corp

  
3 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Otis Gold Corp are ranked lower than 3 (%) of all global equities and portfolios over the last 30 days.