Correlation Between Fluent and TNL Mediagene

Can any of the company-specific risk be diversified away by investing in both Fluent and TNL Mediagene 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 Fluent and TNL Mediagene into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Fluent Inc and TNL Mediagene Ordinary, you can compare the effects of market volatilities on Fluent and TNL Mediagene 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 Fluent with a short position of TNL Mediagene. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fluent and TNL Mediagene.

Diversification Opportunities for Fluent and TNL Mediagene

0.37

Correlation Coefficient

Fluent  TNL Mediagene

Weak diversification

The 3 months correlation between Fluent and TNL is 0.37. Overlapping area represents the amount of risk that can be diversified away by holding Fluent Inc and TNL Mediagene Ordinary in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TNL Mediagene Ordinary and Fluent 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 Fluent Inc are associated (or correlated) with TNL Mediagene. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TNL Mediagene Ordinary has no effect on the direction of Fluent i.e., Fluent and TNL Mediagene go up and down completely randomly.

Pair Corralation between Fluent and TNL Mediagene

Given the investment horizon of 90 days Fluent Inc is expected to generate 0.83 times more return on investment than TNL Mediagene. However, Fluent Inc is 1.21 times less risky than TNL Mediagene. It trades about 0.0 of its potential returns per unit of risk. TNL Mediagene Ordinary is currently generating about -0.05 per unit of risk. If you would invest  384.00  in Fluent Inc on October 24, 2024 and sell it today you would lose (108.00) from holding Fluent Inc or give up 28.12% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	100.0%
Values	Daily Returns

Fluent Inc  vs.  TNL Mediagene Ordinary

Fluent Inc

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Fluent Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest weak performance, the Stock's basic indicators remain stable and the newest uproar on Wall Street may also be a sign of mid-term gains for the firm private investors.

TNL Mediagene Ordinary

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days TNL Mediagene Ordinary has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's primary indicators remain nearly stable which may send shares a bit higher in February 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Fluent and TNL Mediagene

The main advantage of trading using opposite Fluent and TNL Mediagene positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fluent position performs unexpectedly, TNL Mediagene 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 TNL Mediagene will offset losses from the drop in TNL Mediagene's long position.

The idea behind Fluent Inc and TNL Mediagene Ordinary 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 Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.