Correlation Between Global X and COMSovereign Holding

Can any of the company-specific risk be diversified away by investing in both Global X and COMSovereign Holding 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 Global X and COMSovereign Holding into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Global X Funds and COMSovereign Holding Corp, you can compare the effects of market volatilities on Global X and COMSovereign Holding 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 Global X with a short position of COMSovereign Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Global X and COMSovereign Holding.

Diversification Opportunities for Global X and COMSovereign Holding

0.0

Correlation Coefficient

Global X  COMSovereign Holding

Pay attention - limited upside

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

Pair Corralation between Global X and COMSovereign Holding

If you would invest  2,798  in Global X Funds on May 20, 2025 and sell it today you would earn a total of  178.00  from holding Global X Funds or generate 6.36% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Global X Funds  vs.  COMSovereign Holding Corp

Global X Funds

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Global X Funds are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of rather weak primary indicators, Global X may actually be approaching a critical reversion point that can send shares even higher in September 2025.

COMSovereign Holding Corp

Risk-Adjusted Performance

Weakest

Over the last 90 days COMSovereign Holding Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable primary indicators, COMSovereign Holding is not utilizing all of its potentials. The latest stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with Global X and COMSovereign Holding

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

The idea behind Global X Funds and COMSovereign Holding 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 Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.