Correlation Between GECI International and Agile Content

Can any of the company-specific risk be diversified away by investing in both GECI International and Agile Content 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 GECI International and Agile Content into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between GECI International SA and Agile Content SA, you can compare the effects of market volatilities on GECI International and Agile Content 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 GECI International with a short position of Agile Content. Check out your portfolio center. Please also check ongoing floating volatility patterns of GECI International and Agile Content.

Diversification Opportunities for GECI International and Agile Content

0.79

Correlation Coefficient

GECI International  Agile Content

Poor diversification

The 3 months correlation between GECI and Agile is 0.79. Overlapping area represents the amount of risk that can be diversified away by holding GECI International SA and Agile Content SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Agile Content SA and GECI International 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 GECI International SA are associated (or correlated) with Agile Content. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Agile Content SA has no effect on the direction of GECI International i.e., GECI International and Agile Content go up and down completely randomly.

Pair Corralation between GECI International and Agile Content

Assuming the 90 days trading horizon GECI International SA is expected to generate 1.68 times more return on investment than Agile Content. However, GECI International is 1.68 times more volatile than Agile Content SA. It trades about -0.05 of its potential returns per unit of risk. Agile Content SA is currently generating about -0.14 per unit of risk. If you would invest  378.00  in GECI International SA on April 24, 2025 and sell it today you would lose (43.00) from holding GECI International SA or give up 11.38% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	98.44%
Values	Daily Returns

GECI International SA  vs.  Agile Content SA

GECI International

Risk-Adjusted Performance

Very Weak

Over the last 90 days GECI International SA has generated negative risk-adjusted returns adding no value to investors with long positions. Even with latest weak performance, the Stock's basic indicators remain invariable and the latest agitation on Wall Street may also be a sign of long-running gains for the enterprise retail investors.

Agile Content SA

Risk-Adjusted Performance

Very Weak

Over the last 90 days Agile Content SA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's fundamental indicators remain rather sound which may send shares a bit higher in August 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

Pair Trading with GECI International and Agile Content

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

The idea behind GECI International SA and Agile Content SA 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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.