Correlation Between MCEWEN MINING and Apple

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

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

Diversification Opportunities for MCEWEN MINING and Apple

-0.25

Correlation Coefficient

MCEWEN MINING  Apple

Very good diversification

The 3 months correlation between MCEWEN and Apple is -0.25. Overlapping area represents the amount of risk that can be diversified away by holding MCEWEN MINING INC and Apple Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apple Inc and MCEWEN MINING 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 MCEWEN MINING INC are associated (or correlated) with Apple. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apple Inc has no effect on the direction of MCEWEN MINING i.e., MCEWEN MINING and Apple go up and down completely randomly.

Pair Corralation between MCEWEN MINING and Apple

Assuming the 90 days horizon MCEWEN MINING INC is expected to generate 2.05 times more return on investment than Apple. However, MCEWEN MINING is 2.05 times more volatile than Apple Inc. It trades about 0.16 of its potential returns per unit of risk. Apple Inc is currently generating about 0.04 per unit of risk. If you would invest  695.00  in MCEWEN MINING INC on April 21, 2025 and sell it today you would earn a total of  255.00  from holding MCEWEN MINING INC or generate 36.69% return on investment over 90 days.

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

MCEWEN MINING INC  vs.  Apple Inc

MCEWEN MINING INC

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in MCEWEN MINING INC are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. Despite nearly uncertain basic indicators, MCEWEN MINING reported solid returns over the last few months and may actually be approaching a breakup point.

Apple Inc

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Apple Inc are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively stable fundamental indicators, Apple is not utilizing all of its potentials. The current stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with MCEWEN MINING and Apple

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

The idea behind MCEWEN MINING INC and Apple Inc 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 Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.