Correlation Between MCEWEN MINING and COMPUTER MODELLING

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

By analyzing existing cross correlation between MCEWEN MINING INC and COMPUTER MODELLING, you can compare the effects of market volatilities on MCEWEN MINING and COMPUTER MODELLING 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 MCEWEN MINING with a short position of COMPUTER MODELLING. Check out your portfolio center. Please also check ongoing floating volatility patterns of MCEWEN MINING and COMPUTER MODELLING.

Diversification Opportunities for MCEWEN MINING and COMPUTER MODELLING

0.0

Correlation Coefficient

MCEWEN MINING  COMPUTER MODELLING

Pay attention - limited upside

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

Pair Corralation between MCEWEN MINING and COMPUTER MODELLING

If you would invest  760.00  in MCEWEN MINING INC on October 24, 2024 and sell it today you would earn a total of  55.00  from holding MCEWEN MINING INC or generate 7.24% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	5.88%
Values	Daily Returns

MCEWEN MINING INC  vs.  COMPUTER MODELLING

MCEWEN MINING INC

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days MCEWEN MINING INC has generated negative risk-adjusted returns adding no value to investors with long positions. Despite uncertain performance in the last few months, the Stock's basic 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.

COMPUTER MODELLING

Risk-Adjusted Performance

0 of 100

OK

Over the last 90 days COMPUTER MODELLING has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound forward-looking indicators, COMPUTER MODELLING is not utilizing all of its potentials. The current stock price tumult, may contribute to shorter-term losses for the shareholders.

Pair Trading with MCEWEN MINING and COMPUTER MODELLING

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

The idea behind MCEWEN MINING INC and COMPUTER MODELLING 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 Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.