Correlation Between GOLDGROUP MINING and Extra Space

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

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

Diversification Opportunities for GOLDGROUP MINING and Extra Space

0.28

Correlation Coefficient

GOLDGROUP MINING  Extra Space

Modest diversification

The 3 months correlation between GOLDGROUP and Extra is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding GOLDGROUP MINING INC and Extra Space Storage in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Extra Space Storage and GOLDGROUP 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 GOLDGROUP MINING INC are associated (or correlated) with Extra Space. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Extra Space Storage has no effect on the direction of GOLDGROUP MINING i.e., GOLDGROUP MINING and Extra Space go up and down completely randomly.

Pair Corralation between GOLDGROUP MINING and Extra Space

Assuming the 90 days trading horizon GOLDGROUP MINING INC is expected to generate 2.91 times more return on investment than Extra Space. However, GOLDGROUP MINING is 2.91 times more volatile than Extra Space Storage. It trades about 0.05 of its potential returns per unit of risk. Extra Space Storage is currently generating about 0.04 per unit of risk. If you would invest  61.00  in GOLDGROUP MINING INC on April 23, 2025 and sell it today you would earn a total of  5.00  from holding GOLDGROUP MINING INC or generate 8.2% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	100.0%
Values	Daily Returns

GOLDGROUP MINING INC  vs.  Extra Space Storage

GOLDGROUP MINING INC

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in GOLDGROUP MINING INC are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile technical and fundamental indicators, GOLDGROUP MINING may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Extra Space Storage

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Extra Space Storage are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively stable basic indicators, Extra Space is not utilizing all of its potentials. The latest stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with GOLDGROUP MINING and Extra Space

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

The idea behind GOLDGROUP MINING INC and Extra Space Storage 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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.