Correlation Between Sangoma Technologies and International Money

Can any of the company-specific risk be diversified away by investing in both Sangoma Technologies and International Money 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 Sangoma Technologies and International Money into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Sangoma Technologies Corp and International Money Express, you can compare the effects of market volatilities on Sangoma Technologies and International Money 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 Sangoma Technologies with a short position of International Money. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sangoma Technologies and International Money.

Diversification Opportunities for Sangoma Technologies and International Money

-0.1

Correlation Coefficient

Sangoma Technologies  International Money

Good diversification

The 3 months correlation between Sangoma and International is -0.1. Overlapping area represents the amount of risk that can be diversified away by holding Sangoma Technologies Corp and International Money Express in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on International Money and Sangoma Technologies 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 Sangoma Technologies Corp are associated (or correlated) with International Money. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of International Money has no effect on the direction of Sangoma Technologies i.e., Sangoma Technologies and International Money go up and down completely randomly.

Pair Corralation between Sangoma Technologies and International Money

Given the investment horizon of 90 days Sangoma Technologies Corp is expected to generate 0.77 times more return on investment than International Money. However, Sangoma Technologies Corp is 1.29 times less risky than International Money. It trades about -0.03 of its potential returns per unit of risk. International Money Express is currently generating about -0.15 per unit of risk. If you would invest  580.00  in Sangoma Technologies Corp on May 6, 2025 and sell it today you would lose (39.00) from holding Sangoma Technologies Corp or give up 6.72% of portfolio value over 90 days.

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

Sangoma Technologies Corp  vs.  International Money Express

Sangoma Technologies Corp

Risk-Adjusted Performance

Very Weak

Over the last 90 days Sangoma Technologies Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, Sangoma Technologies is not utilizing all of its potentials. The recent stock price disturbance, may contribute to mid-run losses for the stockholders.

International Money

Risk-Adjusted Performance

Very Weak

Over the last 90 days International Money Express has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unsteady performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in September 2025. The recent confusion may also be a sign of long-lasting up-swing for the firm traders.

Pair Trading with Sangoma Technologies and International Money

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

The idea behind Sangoma Technologies Corp and International Money Express 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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.