Correlation Between Mako Mining and Haymaker Acquisition

Can any of the company-specific risk be diversified away by investing in both Mako Mining and Haymaker Acquisition 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 Mako Mining and Haymaker Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Mako Mining Corp and Haymaker Acquisition Corp, you can compare the effects of market volatilities on Mako Mining and Haymaker Acquisition 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 Mako Mining with a short position of Haymaker Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mako Mining and Haymaker Acquisition.

Diversification Opportunities for Mako Mining and Haymaker Acquisition

0.38

Correlation Coefficient

Mako Mining  Haymaker Acquisition

Weak diversification

The 3 months correlation between Mako and Haymaker is 0.38. Overlapping area represents the amount of risk that can be diversified away by holding Mako Mining Corp and Haymaker Acquisition Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Haymaker Acquisition Corp and Mako Mining 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 Mako Mining Corp are associated (or correlated) with Haymaker Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Haymaker Acquisition Corp has no effect on the direction of Mako Mining i.e., Mako Mining and Haymaker Acquisition go up and down completely randomly.

Pair Corralation between Mako Mining and Haymaker Acquisition

Assuming the 90 days horizon Mako Mining Corp is expected to generate 12.36 times more return on investment than Haymaker Acquisition. However, Mako Mining is 12.36 times more volatile than Haymaker Acquisition Corp. It trades about 0.05 of its potential returns per unit of risk. Haymaker Acquisition Corp is currently generating about 0.13 per unit of risk. If you would invest  350.00  in Mako Mining Corp on May 7, 2025 and sell it today you would earn a total of  20.00  from holding Mako Mining Corp or generate 5.71% return on investment over 90 days.

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

Mako Mining Corp  vs.  Haymaker Acquisition Corp

Mako Mining Corp

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Mako Mining Corp are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, Mako Mining may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Haymaker Acquisition Corp

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Haymaker Acquisition Corp are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of rather sound basic indicators, Haymaker Acquisition is not utilizing all of its potentials. The current stock price tumult, may contribute to shorter-term losses for the shareholders.

Pair Trading with Mako Mining and Haymaker Acquisition

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

The idea behind Mako Mining Corp and Haymaker Acquisition 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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.