Correlation Between NanoTech Gaming and Enbridge

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

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

Diversification Opportunities for NanoTech Gaming and Enbridge

0.0

Correlation Coefficient

NanoTech Gaming  Enbridge

Pay attention - limited upside

The 3 months correlation between NanoTech and Enbridge is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding NanoTech Gaming and Enbridge in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Enbridge and NanoTech Gaming 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 NanoTech Gaming are associated (or correlated) with Enbridge. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Enbridge has no effect on the direction of NanoTech Gaming i.e., NanoTech Gaming and Enbridge go up and down completely randomly.

Pair Corralation between NanoTech Gaming and Enbridge

If you would invest  4,055  in Enbridge on September 3, 2025 and sell it today you would earn a total of  834.00  from holding Enbridge or generate 20.57% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	97.42%
Values	Daily Returns

NanoTech Gaming  vs.  Enbridge

NanoTech Gaming

Risk-Adjusted Performance

Weakest

Over the last 90 days NanoTech Gaming has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent technical and fundamental indicators, NanoTech Gaming is not utilizing all of its potentials. The current stock price mess, may contribute to short-term losses for the institutional investors.

Enbridge

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Enbridge are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong basic indicators, Enbridge is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with NanoTech Gaming and Enbridge

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

The idea behind NanoTech Gaming and Enbridge 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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.