Correlation Between ICoreConnect Common and Medical Cannabis

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

By analyzing existing cross correlation between iCoreConnect Common stock and Medical Cannabis Pay, you can compare the effects of market volatilities on ICoreConnect Common and Medical Cannabis 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 ICoreConnect Common with a short position of Medical Cannabis. Check out your portfolio center. Please also check ongoing floating volatility patterns of ICoreConnect Common and Medical Cannabis.

Diversification Opportunities for ICoreConnect Common and Medical Cannabis

-0.36

Correlation Coefficient

ICoreConnect Common  Medical Cannabis

Very good diversification

The 3 months correlation between ICoreConnect and Medical is -0.36. Overlapping area represents the amount of risk that can be diversified away by holding iCoreConnect Common stock and Medical Cannabis Pay in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Medical Cannabis Pay and ICoreConnect Common 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 iCoreConnect Common stock are associated (or correlated) with Medical Cannabis. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Medical Cannabis Pay has no effect on the direction of ICoreConnect Common i.e., ICoreConnect Common and Medical Cannabis go up and down completely randomly.

Pair Corralation between ICoreConnect Common and Medical Cannabis

Given the investment horizon of 90 days iCoreConnect Common stock is expected to under-perform the Medical Cannabis. But the stock apears to be less risky and, when comparing its historical volatility, iCoreConnect Common stock is 21.67 times less risky than Medical Cannabis. The stock trades about -0.1 of its potential returns per unit of risk. The Medical Cannabis Pay is currently generating about 0.23 of returns per unit of risk over similar time horizon. If you would invest  0.01  in Medical Cannabis Pay on September 9, 2024 and sell it today you would earn a total of  0.00  from holding Medical Cannabis Pay or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

iCoreConnect Common stock  vs.  Medical Cannabis Pay

iCoreConnect Common stock

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days iCoreConnect Common stock has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's fundamental indicators remain comparatively stable which may send shares a bit higher in January 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Medical Cannabis Pay

Risk-Adjusted Performance

18 of 100

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Medical Cannabis Pay are ranked lower than 18 (%) of all global equities and portfolios over the last 90 days. Despite nearly abnormal technical and fundamental indicators, Medical Cannabis reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with ICoreConnect Common and Medical Cannabis

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

The idea behind iCoreConnect Common stock and Medical Cannabis Pay 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 Global Correlations module to find global opportunities by holding instruments from different markets.