Correlation Between RBC Short and Hamilton Gold

Can any of the company-specific risk be diversified away by investing in both RBC Short and Hamilton Gold 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 RBC Short and Hamilton Gold into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between RBC Short Term and Hamilton Gold Producer, you can compare the effects of market volatilities on RBC Short and Hamilton Gold 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 RBC Short with a short position of Hamilton Gold. Check out your portfolio center. Please also check ongoing floating volatility patterns of RBC Short and Hamilton Gold.

Diversification Opportunities for RBC Short and Hamilton Gold

0.0

Correlation Coefficient

RBC Short  Hamilton Gold

Pay attention - limited upside

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

Pair Corralation between RBC Short and Hamilton Gold

If you would invest  2,147  in RBC Short Term on August 26, 2025 and sell it today you would earn a total of  65.00  from holding RBC Short Term or generate 3.03% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	1.59%
Values	Daily Returns

RBC Short Term  vs.  Hamilton Gold Producer

RBC Short Term

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in RBC Short Term are ranked lower than 13 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy basic indicators, RBC Short is not utilizing all of its potentials. The recent stock price disarray, may contribute to short-term losses for the investors.

Hamilton Gold Producer

Risk-Adjusted Performance

Fair

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

Pair Trading with RBC Short and Hamilton Gold

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

The idea behind RBC Short Term and Hamilton Gold Producer 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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.