Correlation Between Canlan Ice and Interplay Entertainment

Can any of the company-specific risk be diversified away by investing in both Canlan Ice and Interplay Entertainment 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 Canlan Ice and Interplay Entertainment into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Canlan Ice Sports and Interplay Entertainment Corp, you can compare the effects of market volatilities on Canlan Ice and Interplay Entertainment 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 Canlan Ice with a short position of Interplay Entertainment. Check out your portfolio center. Please also check ongoing floating volatility patterns of Canlan Ice and Interplay Entertainment.

Diversification Opportunities for Canlan Ice and Interplay Entertainment

0.0

Correlation Coefficient

Canlan Ice  Interplay Entertainment

Pay attention - limited upside

The 3 months correlation between Canlan and Interplay is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Canlan Ice Sports and Interplay Entertainment Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Interplay Entertainment and Canlan Ice 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 Canlan Ice Sports are associated (or correlated) with Interplay Entertainment. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Interplay Entertainment has no effect on the direction of Canlan Ice i.e., Canlan Ice and Interplay Entertainment go up and down completely randomly.

Pair Corralation between Canlan Ice and Interplay Entertainment

If you would invest  260.00  in Canlan Ice Sports on August 4, 2025 and sell it today you would earn a total of  37.00  from holding Canlan Ice Sports or generate 14.23% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.48%
Values	Daily Returns

Canlan Ice Sports  vs.  Interplay Entertainment Corp

Canlan Ice Sports

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Canlan Ice Sports are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. Despite nearly conflicting technical and fundamental indicators, Canlan Ice reported solid returns over the last few months and may actually be approaching a breakup point.

Interplay Entertainment

Risk-Adjusted Performance

Weakest

Over the last 90 days Interplay Entertainment Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong essential indicators, Interplay Entertainment is not utilizing all of its potentials. The newest stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Canlan Ice and Interplay Entertainment

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

The idea behind Canlan Ice Sports and Interplay Entertainment Corp 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 CEOs Directory module to screen CEOs from public companies around the world.