Correlation Between Forum Real and Great West
Can any of the company-specific risk be diversified away by investing in both Forum Real and Great West 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 Forum Real and Great West into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Forum Real Estate and Great West Real Estate, you can compare the effects of market volatilities on Forum Real and Great West 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 Forum Real with a short position of Great West. Check out your portfolio center. Please also check ongoing floating volatility patterns of Forum Real and Great West.
Diversification Opportunities for Forum Real and Great West
0.33 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Forum and Great is 0.33. Overlapping area represents the amount of risk that can be diversified away by holding Forum Real Estate and Great West Real Estate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Great West Real and Forum Real 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 Forum Real Estate are associated (or correlated) with Great West. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Great West Real has no effect on the direction of Forum Real i.e., Forum Real and Great West go up and down completely randomly.
Pair Corralation between Forum Real and Great West
Assuming the 90 days horizon Forum Real Estate is expected to generate 0.07 times more return on investment than Great West. However, Forum Real Estate is 13.49 times less risky than Great West. It trades about 0.54 of its potential returns per unit of risk. Great West Real Estate is currently generating about 0.03 per unit of risk. If you would invest 955.00 in Forum Real Estate on September 5, 2025 and sell it today you would earn a total of 19.00 from holding Forum Real Estate or generate 1.99% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Forum Real Estate vs. Great West Real Estate
Performance |
| Timeline |
| Forum Real Estate |
| Great West Real |
Forum Real and Great West Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Forum Real and Great West
The main advantage of trading using opposite Forum Real and Great West positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Forum Real position performs unexpectedly, Great West 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 Great West will offset losses from the drop in Great West's long position.| Forum Real vs. Nationwide Inflation Protected Securities | Forum Real vs. Ab Municipal Bond | Forum Real vs. The Hartford Inflation | Forum Real vs. Guidepath Managed Futures |
| Great West vs. Fidelity Managed Retirement | Great West vs. Franklin Lifesmart 2060 | Great West vs. Transamerica Asset Allocation | Great West vs. Nationwide Investor Destinations |
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
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