Correlation Between Check Point and QUBICGAMES

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

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

Diversification Opportunities for Check Point and QUBICGAMES

-0.41

Correlation Coefficient

Check Point  QUBICGAMES

Very good diversification

The 3 months correlation between Check and QUBICGAMES is -0.41. Overlapping area represents the amount of risk that can be diversified away by holding Check Point Software and QUBICGAMES SA ZY in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on QUBICGAMES SA ZY and Check Point 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 Check Point Software are associated (or correlated) with QUBICGAMES. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of QUBICGAMES SA ZY has no effect on the direction of Check Point i.e., Check Point and QUBICGAMES go up and down completely randomly.

Pair Corralation between Check Point and QUBICGAMES

Assuming the 90 days trading horizon Check Point Software is expected to generate 0.53 times more return on investment than QUBICGAMES. However, Check Point Software is 1.88 times less risky than QUBICGAMES. It trades about 0.06 of its potential returns per unit of risk. QUBICGAMES SA ZY is currently generating about 0.01 per unit of risk. If you would invest  17,765  in Check Point Software on April 23, 2025 and sell it today you would earn a total of  925.00  from holding Check Point Software or generate 5.21% return on investment over 90 days.

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

Check Point Software  vs.  QUBICGAMES SA ZY

Check Point Software

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Check Point Software are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy basic indicators, Check Point is not utilizing all of its potentials. The newest stock price disarray, may contribute to short-term losses for the investors.

QUBICGAMES SA ZY

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in QUBICGAMES SA ZY are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, QUBICGAMES is not utilizing all of its potentials. The newest stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with Check Point and QUBICGAMES

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

The idea behind Check Point Software and QUBICGAMES SA ZY 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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.