Correlation Between Queens Road and Altair Resources

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

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

Diversification Opportunities for Queens Road and Altair Resources

0.0

Correlation Coefficient

Queens Road  Altair Resources

Pay attention - limited upside

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

Pair Corralation between Queens Road and Altair Resources

If you would invest  585.00  in Queens Road Capital on April 22, 2025 and sell it today you would earn a total of  120.00  from holding Queens Road Capital or generate 20.51% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.44%
Values	Daily Returns

Queens Road Capital  vs.  Altair Resources

Queens Road Capital

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Queens Road Capital are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of very weak fundamental indicators, Queens Road displayed solid returns over the last few months and may actually be approaching a breakup point.

Altair Resources

Risk-Adjusted Performance

Very Weak

Over the last 90 days Altair Resources has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly stable basic indicators, Altair Resources is not utilizing all of its potentials. The recent stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Pair Trading with Queens Road and Altair Resources

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

The idea behind Queens Road Capital and Altair Resources 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 Global Correlations module to find global opportunities by holding instruments from different markets.