Correlation Between GetSwift Technologies and Worthington Steel

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

By analyzing existing cross correlation between GetSwift Technologies Limited and Worthington Steel, you can compare the effects of market volatilities on GetSwift Technologies and Worthington Steel 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 GetSwift Technologies with a short position of Worthington Steel. Check out your portfolio center. Please also check ongoing floating volatility patterns of GetSwift Technologies and Worthington Steel.

Diversification Opportunities for GetSwift Technologies and Worthington Steel

0.0

Correlation Coefficient

GetSwift Technologies  Worthington Steel

Pay attention - limited upside

The 3 months correlation between GetSwift and Worthington is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding GetSwift Technologies Limited and Worthington Steel in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Worthington Steel and GetSwift Technologies 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 GetSwift Technologies Limited are associated (or correlated) with Worthington Steel. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Worthington Steel has no effect on the direction of GetSwift Technologies i.e., GetSwift Technologies and Worthington Steel go up and down completely randomly.

Pair Corralation between GetSwift Technologies and Worthington Steel

If you would invest  0.01  in GetSwift Technologies Limited on October 24, 2024 and sell it today you would earn a total of  0.00  from holding GetSwift Technologies Limited or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	1.69%
Values	Daily Returns

GetSwift Technologies Limited  vs.  Worthington Steel

GetSwift Technologies

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days GetSwift Technologies Limited has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, GetSwift Technologies is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Worthington Steel

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Worthington Steel has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unfluctuating 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.

Pair Trading with GetSwift Technologies and Worthington Steel

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

The idea behind GetSwift Technologies Limited and Worthington Steel 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.

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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 AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.