Correlation Between Strategic Asset and Evolution Gaming

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

Diversification Opportunities for Strategic Asset and Evolution Gaming

-0.35
  Correlation Coefficient

Very good diversification

The 3 months correlation between Strategic and Evolution is -0.35. Overlapping area represents the amount of risk that can be diversified away by holding Strategic Asset Leasing and Evolution Gaming Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Evolution Gaming and Strategic Asset 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 Strategic Asset Leasing are associated (or correlated) with Evolution Gaming. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Evolution Gaming has no effect on the direction of Strategic Asset i.e., Strategic Asset and Evolution Gaming go up and down completely randomly.

Pair Corralation between Strategic Asset and Evolution Gaming

If you would invest  0.08  in Strategic Asset Leasing on December 29, 2023 and sell it today you would earn a total of  0.00  from holding Strategic Asset Leasing or generate 0.0% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthInsignificant
Accuracy4.55%
ValuesDaily Returns

Strategic Asset Leasing  vs.  Evolution Gaming Group

 Performance 
       Timeline  
Strategic Asset Leasing 

Risk-Adjusted Performance

0 of 100

 
Low
 
High
Very Weak
Over the last 90 days Strategic Asset Leasing has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, Strategic Asset is not utilizing all of its potentials. The recent stock price uproar, may contribute to short-horizon losses for the private investors.
Evolution Gaming 

Risk-Adjusted Performance

2 of 100

 
Low
 
High
Weak
Compared to the overall equity markets, risk-adjusted returns on investments in Evolution Gaming Group are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of fairly strong basic indicators, Evolution Gaming is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Strategic Asset and Evolution Gaming Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Strategic Asset and Evolution Gaming

The main advantage of trading using opposite Strategic Asset and Evolution Gaming positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Strategic Asset position performs unexpectedly, Evolution Gaming 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 Evolution Gaming will offset losses from the drop in Evolution Gaming's long position.
The idea behind Strategic Asset Leasing and Evolution Gaming Group 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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.

Other Complementary Tools

AI Investment Finder
Use AI to screen and filter profitable investment opportunities
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Risk-Return Analysis
View associations between returns expected from investment and the risk you assume
Sectors
List of equity sectors categorizing publicly traded companies based on their primary business activities
Commodity Channel
Use Commodity Channel Index to analyze current equity momentum
Money Managers
Screen money managers from public funds and ETFs managed around the world
Fundamental Analysis
View fundamental data based on most recent published financial statements
ETF Categories
List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments
Equity Analysis
Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities
Portfolio Center
All portfolio management and optimization tools to improve performance of your portfolios
Positions Ratings
Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance
Investing Opportunities
Build portfolios using our predefined set of ideas and optimize them against your investing preferences