Correlation Between Bilibili and GAMES OPERATORS
Can any of the company-specific risk be diversified away by investing in both Bilibili and GAMES OPERATORS 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 Bilibili and GAMES OPERATORS into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bilibili and GAMES OPERATORS SA, you can compare the effects of market volatilities on Bilibili and GAMES OPERATORS 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 Bilibili with a short position of GAMES OPERATORS. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bilibili and GAMES OPERATORS.
Diversification Opportunities for Bilibili and GAMES OPERATORS
0.63 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Bilibili and GAMES is 0.63. Overlapping area represents the amount of risk that can be diversified away by holding Bilibili and GAMES OPERATORS SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GAMES OPERATORS SA and Bilibili 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 Bilibili are associated (or correlated) with GAMES OPERATORS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GAMES OPERATORS SA has no effect on the direction of Bilibili i.e., Bilibili and GAMES OPERATORS go up and down completely randomly.
Pair Corralation between Bilibili and GAMES OPERATORS
Assuming the 90 days trading horizon Bilibili is expected to generate 8.51 times less return on investment than GAMES OPERATORS. But when comparing it to its historical volatility, Bilibili is 1.03 times less risky than GAMES OPERATORS. It trades about 0.01 of its potential returns per unit of risk. GAMES OPERATORS SA is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 209.00 in GAMES OPERATORS SA on October 11, 2024 and sell it today you would earn a total of 134.00 from holding GAMES OPERATORS SA or generate 64.11% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bilibili vs. GAMES OPERATORS SA
Performance |
| Timeline |
| Bilibili |
| GAMES OPERATORS SA |
Bilibili and GAMES OPERATORS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bilibili and GAMES OPERATORS
The main advantage of trading using opposite Bilibili and GAMES OPERATORS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bilibili position performs unexpectedly, GAMES OPERATORS 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 GAMES OPERATORS will offset losses from the drop in GAMES OPERATORS's long position.| Bilibili vs. THORNEY TECHS LTD | Bilibili vs. ANGLO ASIAN MINING | Bilibili vs. Sunny Optical Technology | Bilibili vs. Minerals Technologies |
| GAMES OPERATORS vs. Perseus Mining Limited | GAMES OPERATORS vs. MCEWEN MINING INC | GAMES OPERATORS vs. Comba Telecom Systems | GAMES OPERATORS vs. Jacquet Metal Service |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum |