Correlation Between Orezone Gold and Wheaton Precious
Can any of the company-specific risk be diversified away by investing in both Orezone Gold and Wheaton Precious 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 Orezone Gold and Wheaton Precious into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Orezone Gold Corp and Wheaton Precious Metals, you can compare the effects of market volatilities on Orezone Gold and Wheaton Precious 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 Orezone Gold with a short position of Wheaton Precious. Check out your portfolio center. Please also check ongoing floating volatility patterns of Orezone Gold and Wheaton Precious.
Diversification Opportunities for Orezone Gold and Wheaton Precious
0.47 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Orezone and Wheaton is 0.47. Overlapping area represents the amount of risk that can be diversified away by holding Orezone Gold Corp and Wheaton Precious Metals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Wheaton Precious Metals and Orezone 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 Orezone Gold Corp are associated (or correlated) with Wheaton Precious. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Wheaton Precious Metals has no effect on the direction of Orezone Gold i.e., Orezone Gold and Wheaton Precious go up and down completely randomly.
Pair Corralation between Orezone Gold and Wheaton Precious
Assuming the 90 days trading horizon Orezone Gold Corp is expected to generate 1.67 times more return on investment than Wheaton Precious. However, Orezone Gold is 1.67 times more volatile than Wheaton Precious Metals. It trades about 0.15 of its potential returns per unit of risk. Wheaton Precious Metals is currently generating about 0.07 per unit of risk. If you would invest 116.00 in Orezone Gold Corp on August 31, 2025 and sell it today you would earn a total of 45.00 from holding Orezone Gold Corp or generate 38.79% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 98.44% |
| Values | Daily Returns |
Orezone Gold Corp vs. Wheaton Precious Metals
Performance |
| Timeline |
| Orezone Gold Corp |
| Wheaton Precious Metals |
Orezone Gold and Wheaton Precious Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Orezone Gold and Wheaton Precious
The main advantage of trading using opposite Orezone Gold and Wheaton Precious positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Orezone Gold position performs unexpectedly, Wheaton Precious 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 Wheaton Precious will offset losses from the drop in Wheaton Precious' long position.| Orezone Gold vs. Power Financial Corp | Orezone Gold vs. E L Financial Corp | Orezone Gold vs. Ramp Metals | Orezone Gold vs. North American Financial |
| Wheaton Precious vs. WELL Health Technologies | Wheaton Precious vs. TGS Esports | Wheaton Precious vs. Altair Resources | Wheaton Precious vs. Homerun Resources |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |