Correlation Between GOLDGROUP MINING and CODERE ONLINE

Can any of the company-specific risk be diversified away by investing in both GOLDGROUP MINING and CODERE ONLINE 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 CODERE ONLINE 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 CODERE ONLINE LUX, you can compare the effects of market volatilities on GOLDGROUP MINING and CODERE ONLINE 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 CODERE ONLINE. Check out your portfolio center. Please also check ongoing floating volatility patterns of GOLDGROUP MINING and CODERE ONLINE.

Diversification Opportunities for GOLDGROUP MINING and CODERE ONLINE

0.54

Correlation Coefficient

GOLDGROUP MINING  CODERE ONLINE

Very weak diversification

The 3 months correlation between GOLDGROUP and CODERE is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding GOLDGROUP MINING INC and CODERE ONLINE LUX in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CODERE ONLINE LUX 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 CODERE ONLINE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CODERE ONLINE LUX has no effect on the direction of GOLDGROUP MINING i.e., GOLDGROUP MINING and CODERE ONLINE go up and down completely randomly.

Pair Corralation between GOLDGROUP MINING and CODERE ONLINE

Assuming the 90 days trading horizon GOLDGROUP MINING is expected to generate 1.37 times less return on investment than CODERE ONLINE. In addition to that, GOLDGROUP MINING is 1.49 times more volatile than CODERE ONLINE LUX. It trades about 0.05 of its total potential returns per unit of risk. CODERE ONLINE LUX is currently generating about 0.11 per unit of volatility. If you would invest  615.00  in CODERE ONLINE LUX on April 23, 2025 and sell it today you would earn a total of  95.00  from holding CODERE ONLINE LUX or generate 15.45% return on investment over 90 days.

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

GOLDGROUP MINING INC  vs.  CODERE ONLINE LUX

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.

CODERE ONLINE LUX

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in CODERE ONLINE LUX are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite nearly uncertain basic indicators, CODERE ONLINE reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with GOLDGROUP MINING and CODERE ONLINE

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

The idea behind GOLDGROUP MINING INC and CODERE ONLINE LUX 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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.