Correlation Between Bet At and Polar Capital
Can any of the company-specific risk be diversified away by investing in both Bet At and Polar Capital 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 Bet At and Polar Capital into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between bet at home AG and Polar Capital Technology, you can compare the effects of market volatilities on Bet At and Polar Capital 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 Bet At with a short position of Polar Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bet At and Polar Capital.
Diversification Opportunities for Bet At and Polar Capital
-0.89 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Bet and Polar is -0.89. Overlapping area represents the amount of risk that can be diversified away by holding bet at home AG and Polar Capital Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Polar Capital Technology and Bet At 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 bet at home AG are associated (or correlated) with Polar Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Polar Capital Technology has no effect on the direction of Bet At i.e., Bet At and Polar Capital go up and down completely randomly.
Pair Corralation between Bet At and Polar Capital
Assuming the 90 days trading horizon bet at home AG is expected to under-perform the Polar Capital. In addition to that, Bet At is 3.0 times more volatile than Polar Capital Technology. It trades about 0.0 of its total potential returns per unit of risk. Polar Capital Technology is currently generating about 0.11 per unit of volatility. If you would invest 24,300 in Polar Capital Technology on September 6, 2024 and sell it today you would earn a total of 10,050 from holding Polar Capital Technology or generate 41.36% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 99.6% |
| Values | Daily Returns |
bet at home AG vs. Polar Capital Technology
Performance |
| Timeline |
| bet at home |
| Polar Capital Technology |
Bet At and Polar Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bet At and Polar Capital
The main advantage of trading using opposite Bet At and Polar Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bet At position performs unexpectedly, Polar Capital 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 Polar Capital will offset losses from the drop in Polar Capital's long position.| Bet At vs. Samsung Electronics Co | Bet At vs. Samsung Electronics Co | Bet At vs. Hyundai Motor | Bet At vs. Toyota Motor Corp |
| Polar Capital vs. SupplyMe Capital PLC | Polar Capital vs. Lloyds Banking Group | Polar Capital vs. Premier African Minerals | Polar Capital vs. SANTANDER UK 8 |
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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |