Correlation Between SSR Mining and Boralex

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

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

Diversification Opportunities for SSR Mining and Boralex

-0.79

Correlation Coefficient

SSR Mining  Boralex

Pay attention - limited upside

The 3 months correlation between SSR and Boralex is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding SSR Mining and Boralex in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Boralex and SSR 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 SSR Mining are associated (or correlated) with Boralex. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Boralex has no effect on the direction of SSR Mining i.e., SSR Mining and Boralex go up and down completely randomly.

Pair Corralation between SSR Mining and Boralex

Assuming the 90 days trading horizon SSR Mining is expected to generate 2.36 times more return on investment than Boralex. However, SSR Mining is 2.36 times more volatile than Boralex. It trades about 0.32 of its potential returns per unit of risk. Boralex is currently generating about -0.13 per unit of risk. If you would invest  1,737  in SSR Mining on June 28, 2025 and sell it today you would earn a total of  1,571  from holding SSR Mining or generate 90.44% return on investment over 90 days.

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

SSR Mining  vs.  Boralex

SSR Mining

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in SSR Mining are ranked lower than 25 (%) of all global equities and portfolios over the last 90 days. In spite of very unfluctuating basic indicators, SSR Mining displayed solid returns over the last few months and may actually be approaching a breakup point.

Boralex

Risk-Adjusted Performance

Weakest

Over the last 90 days Boralex has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest weak performance, the Stock's basic indicators remain healthy and the recent disarray on Wall Street may also be a sign of long period gains for the firm investors.

Pair Trading with SSR Mining and Boralex

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

The idea behind SSR Mining and Boralex 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.

Check out your portfolio center.

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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.