Correlation Between Montage Gold and Surf Air
Can any of the company-specific risk be diversified away by investing in both Montage Gold and Surf Air 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 Montage Gold and Surf Air into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Montage Gold Corp and Surf Air Mobility, you can compare the effects of market volatilities on Montage Gold and Surf Air 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 Montage Gold with a short position of Surf Air. Check out your portfolio center. Please also check ongoing floating volatility patterns of Montage Gold and Surf Air.
Diversification Opportunities for Montage Gold and Surf Air
-0.04 | Correlation Coefficient |
Good diversification
The 3 months correlation between Montage and Surf is -0.04. Overlapping area represents the amount of risk that can be diversified away by holding Montage Gold Corp and Surf Air Mobility in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Surf Air Mobility and Montage Gold 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 Montage Gold Corp are associated (or correlated) with Surf Air. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Surf Air Mobility has no effect on the direction of Montage Gold i.e., Montage Gold and Surf Air go up and down completely randomly.
Pair Corralation between Montage Gold and Surf Air
Assuming the 90 days trading horizon Montage Gold Corp is expected to generate 0.63 times more return on investment than Surf Air. However, Montage Gold Corp is 1.58 times less risky than Surf Air. It trades about 0.16 of its potential returns per unit of risk. Surf Air Mobility is currently generating about -0.12 per unit of risk. If you would invest 510.00 in Montage Gold Corp on August 20, 2025 and sell it today you would earn a total of 166.00 from holding Montage Gold Corp or generate 32.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 98.41% |
| Values | Daily Returns |
Montage Gold Corp vs. Surf Air Mobility
Performance |
| Timeline |
| Montage Gold Corp |
| Surf Air Mobility |
Montage Gold and Surf Air Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Montage Gold and Surf Air
The main advantage of trading using opposite Montage Gold and Surf Air positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Montage Gold position performs unexpectedly, Surf Air 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 Surf Air will offset losses from the drop in Surf Air's long position.| Montage Gold vs. Allied Gold | Montage Gold vs. Ivanhoe Energy | Montage Gold vs. Skeena Resources | Montage Gold vs. Snowline Gold Corp |
| Surf Air vs. Metalpha Technology Holding | Surf Air vs. Microvast Holdings | Surf Air vs. Forrester Research | Surf Air vs. TrueBlue |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
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