Correlation Between Mangold Fondkommission and Goobit Group

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

By analyzing existing cross correlation between Mangold Fondkommission AB and Goobit Group AB, you can compare the effects of market volatilities on Mangold Fondkommission and Goobit Group 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 Mangold Fondkommission with a short position of Goobit Group. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mangold Fondkommission and Goobit Group.

Diversification Opportunities for Mangold Fondkommission and Goobit Group

0.72

Correlation Coefficient

Mangold Fondkommission  Goobit Group

Poor diversification

The 3 months correlation between Mangold and Goobit is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding Mangold Fondkommission AB and Goobit Group AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Goobit Group AB and Mangold Fondkommission 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 Mangold Fondkommission AB are associated (or correlated) with Goobit Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Goobit Group AB has no effect on the direction of Mangold Fondkommission i.e., Mangold Fondkommission and Goobit Group go up and down completely randomly.

Pair Corralation between Mangold Fondkommission and Goobit Group

Assuming the 90 days trading horizon Mangold Fondkommission is expected to generate 4.55 times less return on investment than Goobit Group. But when comparing it to its historical volatility, Mangold Fondkommission AB is 6.61 times less risky than Goobit Group. It trades about 0.18 of its potential returns per unit of risk. Goobit Group AB is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest  8.90  in Goobit Group AB on April 24, 2025 and sell it today you would earn a total of  6.10  from holding Goobit Group AB or generate 68.54% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Mangold Fondkommission AB  vs.  Goobit Group AB

Mangold Fondkommission

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Mangold Fondkommission AB are ranked lower than 13 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain basic indicators, Mangold Fondkommission unveiled solid returns over the last few months and may actually be approaching a breakup point.

Goobit Group AB

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Goobit Group AB are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak basic indicators, Goobit Group unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Mangold Fondkommission and Goobit Group

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

The idea behind Mangold Fondkommission AB and Goobit Group AB 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 Money Managers module to screen money managers from public funds and ETFs managed around the world.