Correlation Between Colabor and Pesorama
Can any of the company-specific risk be diversified away by investing in both Colabor and Pesorama 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 Colabor and Pesorama into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Colabor Group and Pesorama, you can compare the effects of market volatilities on Colabor and Pesorama 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 Colabor with a short position of Pesorama. Check out your portfolio center. Please also check ongoing floating volatility patterns of Colabor and Pesorama.
Diversification Opportunities for Colabor and Pesorama
Very good diversification
The 3 months correlation between Colabor and Pesorama is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Colabor Group and Pesorama in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Pesorama and Colabor 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 Colabor Group are associated (or correlated) with Pesorama. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Pesorama has no effect on the direction of Colabor i.e., Colabor and Pesorama go up and down completely randomly.
Pair Corralation between Colabor and Pesorama
Assuming the 90 days trading horizon Colabor Group is expected to under-perform the Pesorama. In addition to that, Colabor is 1.89 times more volatile than Pesorama. It trades about -0.22 of its total potential returns per unit of risk. Pesorama is currently generating about 0.18 per unit of volatility. If you would invest 18.00 in Pesorama on August 15, 2025 and sell it today you would earn a total of 10.00 from holding Pesorama or generate 55.56% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Colabor Group vs. Pesorama
Performance |
| Timeline |
| Colabor Group |
| Pesorama |
Colabor and Pesorama Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Colabor and Pesorama
The main advantage of trading using opposite Colabor and Pesorama positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Colabor position performs unexpectedly, Pesorama 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 Pesorama will offset losses from the drop in Pesorama's long position.| Colabor vs. Big Rock Brewery | Colabor vs. Century Global Commodities | Colabor vs. Burcon NutraScience | Colabor vs. Else Nutrition Holdings |
| Pesorama vs. Burcon NutraScience | Pesorama vs. Big Rock Brewery | Pesorama vs. Eastwood Bio Medical Canada | Pesorama vs. Swiss Water Decaffeinated |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |