Correlation Between Abak SA and Pixel Crow
Can any of the company-specific risk be diversified away by investing in both Abak SA and Pixel Crow 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 Abak SA and Pixel Crow into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Abak SA and Pixel Crow Games, you can compare the effects of market volatilities on Abak SA and Pixel Crow 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 Abak SA with a short position of Pixel Crow. Check out your portfolio center. Please also check ongoing floating volatility patterns of Abak SA and Pixel Crow.
Diversification Opportunities for Abak SA and Pixel Crow
-0.34 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Abak and Pixel is -0.34. Overlapping area represents the amount of risk that can be diversified away by holding Abak SA and Pixel Crow Games in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Pixel Crow Games and Abak SA 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 Abak SA are associated (or correlated) with Pixel Crow. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Pixel Crow Games has no effect on the direction of Abak SA i.e., Abak SA and Pixel Crow go up and down completely randomly.
Pair Corralation between Abak SA and Pixel Crow
Assuming the 90 days trading horizon Abak SA is expected to generate 0.52 times more return on investment than Pixel Crow. However, Abak SA is 1.94 times less risky than Pixel Crow. It trades about 0.07 of its potential returns per unit of risk. Pixel Crow Games is currently generating about 0.03 per unit of risk. If you would invest 244.00 in Abak SA on August 28, 2024 and sell it today you would earn a total of 136.00 from holding Abak SA or generate 55.74% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 53.0% |
| Values | Daily Returns |
Abak SA vs. Pixel Crow Games
Performance |
| Timeline |
| Abak SA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Pixel Crow Games |
Abak SA and Pixel Crow Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Abak SA and Pixel Crow
The main advantage of trading using opposite Abak SA and Pixel Crow positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Abak SA position performs unexpectedly, Pixel Crow 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 Pixel Crow will offset losses from the drop in Pixel Crow's long position.The idea behind Abak SA and Pixel Crow Games 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.| Pixel Crow vs. Asseco Business Solutions | Pixel Crow vs. Detalion Games SA | Pixel Crow vs. Asseco South Eastern | Pixel Crow vs. Movie Games SA |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
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