Correlation Between Avino Silver and Trilogy Metals

Can any of the company-specific risk be diversified away by investing in both Avino Silver and Trilogy Metals 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 Avino Silver and Trilogy Metals into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Avino Silver Gold and Trilogy Metals, you can compare the effects of market volatilities on Avino Silver and Trilogy Metals 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 Avino Silver with a short position of Trilogy Metals. Check out your portfolio center. Please also check ongoing floating volatility patterns of Avino Silver and Trilogy Metals.

Diversification Opportunities for Avino Silver and Trilogy Metals

0.17

Correlation Coefficient

Avino Silver  Trilogy Metals

Average diversification

The 3 months correlation between Avino and Trilogy is 0.17. Overlapping area represents the amount of risk that can be diversified away by holding Avino Silver Gold and Trilogy Metals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Trilogy Metals and Avino Silver 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 Avino Silver Gold are associated (or correlated) with Trilogy Metals. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Trilogy Metals has no effect on the direction of Avino Silver i.e., Avino Silver and Trilogy Metals go up and down completely randomly.

Pair Corralation between Avino Silver and Trilogy Metals

Considering the 90-day investment horizon Avino Silver Gold is expected to generate 0.93 times more return on investment than Trilogy Metals. However, Avino Silver Gold is 1.07 times less risky than Trilogy Metals. It trades about 0.13 of its potential returns per unit of risk. Trilogy Metals is currently generating about 0.01 per unit of risk. If you would invest  240.00  in Avino Silver Gold on May 4, 2025 and sell it today you would earn a total of  83.00  from holding Avino Silver Gold or generate 34.58% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	98.41%
Values	Daily Returns

Avino Silver Gold  vs.  Trilogy Metals

Avino Silver Gold

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Avino Silver Gold are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of very conflicting basic indicators, Avino Silver displayed solid returns over the last few months and may actually be approaching a breakup point.

Trilogy Metals

Risk-Adjusted Performance

Very Weak

Over the last 90 days Trilogy Metals has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable primary indicators, Trilogy Metals is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Avino Silver and Trilogy Metals

The main advantage of trading using opposite Avino Silver and Trilogy Metals positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Avino Silver position performs unexpectedly, Trilogy Metals 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 Trilogy Metals will offset losses from the drop in Trilogy Metals' long position.

The idea behind Avino Silver Gold and Trilogy Metals pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.