Correlation Between FRACTAL GAMING and PLAYWAY SA

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both FRACTAL GAMING and PLAYWAY SA 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 FRACTAL GAMING and PLAYWAY SA into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between FRACTAL GAMING GROUP and PLAYWAY SA ZY 10, you can compare the effects of market volatilities on FRACTAL GAMING and PLAYWAY SA 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 FRACTAL GAMING with a short position of PLAYWAY SA. Check out your portfolio center. Please also check ongoing floating volatility patterns of FRACTAL GAMING and PLAYWAY SA.

Diversification Opportunities for FRACTAL GAMING and PLAYWAY SA

0.58
  Correlation Coefficient

Very weak diversification

The 3 months correlation between FRACTAL and PLAYWAY is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding FRACTAL GAMING GROUP and PLAYWAY SA ZY 10 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PLAYWAY SA ZY and FRACTAL GAMING 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 FRACTAL GAMING GROUP are associated (or correlated) with PLAYWAY SA. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PLAYWAY SA ZY has no effect on the direction of FRACTAL GAMING i.e., FRACTAL GAMING and PLAYWAY SA go up and down completely randomly.

Pair Corralation between FRACTAL GAMING and PLAYWAY SA

Assuming the 90 days horizon FRACTAL GAMING GROUP is expected to generate 0.73 times more return on investment than PLAYWAY SA. However, FRACTAL GAMING GROUP is 1.38 times less risky than PLAYWAY SA. It trades about 0.32 of its potential returns per unit of risk. PLAYWAY SA ZY 10 is currently generating about 0.08 per unit of risk. If you would invest  294.00  in FRACTAL GAMING GROUP on April 21, 2025 and sell it today you would earn a total of  110.00  from holding FRACTAL GAMING GROUP or generate 37.41% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

FRACTAL GAMING GROUP  vs.  PLAYWAY SA ZY 10

 Performance 
       Timeline  
FRACTAL GAMING GROUP 

Risk-Adjusted Performance

Solid

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in FRACTAL GAMING GROUP are ranked lower than 24 (%) of all global equities and portfolios over the last 90 days. Despite nearly unsteady basic indicators, FRACTAL GAMING reported solid returns over the last few months and may actually be approaching a breakup point.
PLAYWAY SA ZY 

Risk-Adjusted Performance

Modest

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in PLAYWAY SA ZY 10 are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. Despite nearly uncertain basic indicators, PLAYWAY SA may actually be approaching a critical reversion point that can send shares even higher in August 2025.

FRACTAL GAMING and PLAYWAY SA Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with FRACTAL GAMING and PLAYWAY SA

The main advantage of trading using opposite FRACTAL GAMING and PLAYWAY SA positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if FRACTAL GAMING position performs unexpectedly, PLAYWAY SA 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 PLAYWAY SA will offset losses from the drop in PLAYWAY SA's long position.
The idea behind FRACTAL GAMING GROUP and PLAYWAY SA ZY 10 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..

Other Complementary Tools

Piotroski F Score
Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals
Money Flow Index
Determine momentum by analyzing Money Flow Index and other technical indicators
Portfolio Rebalancing
Analyze risk-adjusted returns against different time horizons to find asset-allocation targets
FinTech Suite
Use AI to screen and filter profitable investment opportunities
Portfolio Optimization
Compute new portfolio that will generate highest expected return given your specified tolerance for risk