Correlation Between Condor Resources and Multi Ways

Can any of the company-specific risk be diversified away by investing in both Condor Resources and Multi Ways 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 Condor Resources and Multi Ways into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Condor Resources and Multi Ways Holdings, you can compare the effects of market volatilities on Condor Resources and Multi Ways 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 Condor Resources with a short position of Multi Ways. Check out your portfolio center. Please also check ongoing floating volatility patterns of Condor Resources and Multi Ways.

Diversification Opportunities for Condor Resources and Multi Ways

0.12

Correlation Coefficient

Condor Resources  Multi Ways

Average diversification

The 3 months correlation between Condor and Multi is 0.12. Overlapping area represents the amount of risk that can be diversified away by holding Condor Resources and Multi Ways Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Multi Ways Holdings and Condor Resources 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 Condor Resources are associated (or correlated) with Multi Ways. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Multi Ways Holdings has no effect on the direction of Condor Resources i.e., Condor Resources and Multi Ways go up and down completely randomly.

Pair Corralation between Condor Resources and Multi Ways

Assuming the 90 days horizon Condor Resources is expected to generate 9.59 times more return on investment than Multi Ways. However, Condor Resources is 9.59 times more volatile than Multi Ways Holdings. It trades about 0.15 of its potential returns per unit of risk. Multi Ways Holdings is currently generating about 0.06 per unit of risk. If you would invest  10.00  in Condor Resources on August 4, 2025 and sell it today you would lose (1.00) from holding Condor Resources or give up 10.0% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Condor Resources  vs.  Multi Ways Holdings

Condor Resources

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Condor Resources are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. Despite nearly weak forward indicators, Condor Resources reported solid returns over the last few months and may actually be approaching a breakup point.

Multi Ways Holdings

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Multi Ways Holdings are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite nearly weak basic indicators, Multi Ways reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Condor Resources and Multi Ways

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

The idea behind Condor Resources and Multi Ways Holdings 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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.