Correlation Between Canaccord Genuity and HIVE Digital

Can any of the company-specific risk be diversified away by investing in both Canaccord Genuity and HIVE Digital 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 Canaccord Genuity and HIVE Digital into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Canaccord Genuity Group and HIVE Digital Technologies, you can compare the effects of market volatilities on Canaccord Genuity and HIVE Digital 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 Canaccord Genuity with a short position of HIVE Digital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Canaccord Genuity and HIVE Digital.

Diversification Opportunities for Canaccord Genuity and HIVE Digital

0.76

Correlation Coefficient

Canaccord Genuity  HIVE Digital

Poor diversification

The 3 months correlation between Canaccord and HIVE is 0.76. Overlapping area represents the amount of risk that can be diversified away by holding Canaccord Genuity Group and HIVE Digital Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HIVE Digital Technologies and Canaccord Genuity 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 Canaccord Genuity Group are associated (or correlated) with HIVE Digital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HIVE Digital Technologies has no effect on the direction of Canaccord Genuity i.e., Canaccord Genuity and HIVE Digital go up and down completely randomly.

Pair Corralation between Canaccord Genuity and HIVE Digital

Assuming the 90 days horizon Canaccord Genuity is expected to generate 1.23 times less return on investment than HIVE Digital. But when comparing it to its historical volatility, Canaccord Genuity Group is 2.75 times less risky than HIVE Digital. It trades about 0.29 of its potential returns per unit of risk. HIVE Digital Technologies is currently generating about 0.13 of returns per unit of risk over similar time horizon. If you would invest  222.00  in HIVE Digital Technologies on April 22, 2025 and sell it today you would earn a total of  89.00  from holding HIVE Digital Technologies or generate 40.09% return on investment over 90 days.

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

Canaccord Genuity Group  vs.  HIVE Digital Technologies

Canaccord Genuity

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Canaccord Genuity Group are ranked lower than 22 (%) of all global equities and portfolios over the last 90 days. In spite of very unfluctuating basic indicators, Canaccord Genuity displayed solid returns over the last few months and may actually be approaching a breakup point.

HIVE Digital Technologies

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in HIVE Digital Technologies are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of fairly unfluctuating basic indicators, HIVE Digital showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Canaccord Genuity and HIVE Digital

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

The idea behind Canaccord Genuity Group and HIVE Digital Technologies 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 Stocks Directory module to find actively traded stocks across global markets.