Correlation Between Globe Telecom and Atlas Consolidated
Can any of the company-specific risk be diversified away by investing in both Globe Telecom and Atlas Consolidated 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 Globe Telecom and Atlas Consolidated into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Globe Telecom and Atlas Consolidated Mining, you can compare the effects of market volatilities on Globe Telecom and Atlas Consolidated 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 Globe Telecom with a short position of Atlas Consolidated. Check out your portfolio center. Please also check ongoing floating volatility patterns of Globe Telecom and Atlas Consolidated.
Diversification Opportunities for Globe Telecom and Atlas Consolidated
-0.11 | Correlation Coefficient |
Good diversification
The 3 months correlation between Globe and Atlas is -0.11. Overlapping area represents the amount of risk that can be diversified away by holding Globe Telecom and Atlas Consolidated Mining in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Atlas Consolidated Mining and Globe Telecom 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 Globe Telecom are associated (or correlated) with Atlas Consolidated. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Atlas Consolidated Mining has no effect on the direction of Globe Telecom i.e., Globe Telecom and Atlas Consolidated go up and down completely randomly.
Pair Corralation between Globe Telecom and Atlas Consolidated
Assuming the 90 days trading horizon Globe Telecom is expected to under-perform the Atlas Consolidated. But the stock apears to be less risky and, when comparing its historical volatility, Globe Telecom is 1.79 times less risky than Atlas Consolidated. The stock trades about -0.2 of its potential returns per unit of risk. The Atlas Consolidated Mining is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 440.00 in Atlas Consolidated Mining on April 24, 2025 and sell it today you would earn a total of 10.00 from holding Atlas Consolidated Mining or generate 2.27% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Globe Telecom vs. Atlas Consolidated Mining
Performance |
Timeline |
Globe Telecom |
Atlas Consolidated Mining |
Globe Telecom and Atlas Consolidated Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Globe Telecom and Atlas Consolidated
The main advantage of trading using opposite Globe Telecom and Atlas Consolidated positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Globe Telecom position performs unexpectedly, Atlas Consolidated 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 Atlas Consolidated will offset losses from the drop in Atlas Consolidated's long position.Globe Telecom vs. Apex Mining Co | Globe Telecom vs. United Paragon Mining | Globe Telecom vs. Semirara Mining Corp | Globe Telecom vs. Transpacific Broadband Group |
Atlas Consolidated vs. Robinsons Retail Holdings | Atlas Consolidated vs. SM Investments Corp | Atlas Consolidated vs. Philex Mining Corp | Atlas Consolidated vs. Top Frontier 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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas |