Correlation Between Swarmio Media and Leaf Mobile

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

By analyzing existing cross correlation between Swarmio Media Holdings and Leaf Mobile, you can compare the effects of market volatilities on Swarmio Media and Leaf Mobile 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 Swarmio Media with a short position of Leaf Mobile. Check out your portfolio center. Please also check ongoing floating volatility patterns of Swarmio Media and Leaf Mobile.

Diversification Opportunities for Swarmio Media and Leaf Mobile

0.0

Correlation Coefficient

Swarmio Media  Leaf Mobile

Pay attention - limited upside

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

Pair Corralation between Swarmio Media and Leaf Mobile

If you would invest (100.00) in Swarmio Media Holdings on December 29, 2024 and sell it today you would earn a total of  100.00  from holding Swarmio Media Holdings or generate -100.0% return on investment over 90 days.

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

Swarmio Media Holdings  vs.  Leaf Mobile

Swarmio Media Holdings

Risk-Adjusted Performance

Very Weak

Over the last 90 days Swarmio Media Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable forward indicators, Swarmio Media is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Leaf Mobile

Risk-Adjusted Performance

Very Weak

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

Pair Trading with Swarmio Media and Leaf Mobile

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

The idea behind Swarmio Media Holdings and Leaf Mobile 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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.