Correlation Between Mivne Real and Glassbox

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

By analyzing existing cross correlation between Mivne Real Estate and Glassbox, you can compare the effects of market volatilities on Mivne Real and Glassbox 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 Mivne Real with a short position of Glassbox. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mivne Real and Glassbox.

Diversification Opportunities for Mivne Real and Glassbox

0.0

Correlation Coefficient

Mivne Real  Glassbox

Pay attention - limited upside

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

Pair Corralation between Mivne Real and Glassbox

If you would invest  91,950  in Mivne Real Estate on September 3, 2024 and sell it today you would earn a total of  16,650  from holding Mivne Real Estate or generate 18.11% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Mivne Real Estate  vs.  Glassbox

Mivne Real Estate

Risk-Adjusted Performance

14 of 100

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Mivne Real Estate are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. Despite somewhat weak basic indicators, Mivne Real sustained solid returns over the last few months and may actually be approaching a breakup point.

Glassbox

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Glassbox has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, Glassbox is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Mivne Real and Glassbox

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

The idea behind Mivne Real Estate and Glassbox 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 Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.