Correlation Between Tourmaline Oil and Gibson Energy
Can any of the company-specific risk be diversified away by investing in both Tourmaline Oil and Gibson Energy 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 Tourmaline Oil and Gibson Energy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Tourmaline Oil Corp and Gibson Energy, you can compare the effects of market volatilities on Tourmaline Oil and Gibson Energy 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 Tourmaline Oil with a short position of Gibson Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tourmaline Oil and Gibson Energy.
Diversification Opportunities for Tourmaline Oil and Gibson Energy
0.11 | Correlation Coefficient |
Average diversification
The 3 months correlation between Tourmaline and Gibson is 0.11. Overlapping area represents the amount of risk that can be diversified away by holding Tourmaline Oil Corp and Gibson Energy in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Gibson Energy and Tourmaline Oil 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 Tourmaline Oil Corp are associated (or correlated) with Gibson Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gibson Energy has no effect on the direction of Tourmaline Oil i.e., Tourmaline Oil and Gibson Energy go up and down completely randomly.
Pair Corralation between Tourmaline Oil and Gibson Energy
Assuming the 90 days trading horizon Tourmaline Oil Corp is expected to generate 1.51 times more return on investment than Gibson Energy. However, Tourmaline Oil is 1.51 times more volatile than Gibson Energy. It trades about 0.02 of its potential returns per unit of risk. Gibson Energy is currently generating about -0.02 per unit of risk. If you would invest 6,106 in Tourmaline Oil Corp on July 28, 2025 and sell it today you would earn a total of 88.00 from holding Tourmaline Oil Corp or generate 1.44% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Tourmaline Oil Corp vs. Gibson Energy
Performance |
| Timeline |
| Tourmaline Oil Corp |
| Gibson Energy |
Tourmaline Oil and Gibson Energy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Tourmaline Oil and Gibson Energy
The main advantage of trading using opposite Tourmaline Oil and Gibson Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Tourmaline Oil position performs unexpectedly, Gibson Energy 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 Gibson Energy will offset losses from the drop in Gibson Energy's long position.| Tourmaline Oil vs. ARC Resources | Tourmaline Oil vs. Ovintiv | Tourmaline Oil vs. Pembina Pipeline Corp | Tourmaline Oil vs. Whitecap Resources |
| Gibson Energy vs. Topaz Energy Corp | Gibson Energy vs. Peyto ExplorationDevelopment Corp | Gibson Energy vs. Tidewater Midstream and | Gibson Energy vs. Athabasca Oil Corp |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |