Correlation Between Blue Apron and Liquidity Services
Can any of the company-specific risk be diversified away by investing in both Blue Apron and Liquidity Services 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 Blue Apron and Liquidity Services into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Blue Apron Holdings, and Liquidity Services, you can compare the effects of market volatilities on Blue Apron and Liquidity Services 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 Blue Apron with a short position of Liquidity Services. Check out your portfolio center. Please also check ongoing floating volatility patterns of Blue Apron and Liquidity Services.
Diversification Opportunities for Blue Apron and Liquidity Services
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Blue and Liquidity is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Blue Apron Holdings, and Liquidity Services in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Liquidity Services and Blue Apron 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 Blue Apron Holdings, are associated (or correlated) with Liquidity Services. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Liquidity Services has no effect on the direction of Blue Apron i.e., Blue Apron and Liquidity Services go up and down completely randomly.
Pair Corralation between Blue Apron and Liquidity Services
If you would invest (100.00) in Blue Apron Holdings, on November 9, 2024 and sell it today you would earn a total of 100.00 from holding Blue Apron Holdings, or generate -100.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Blue Apron Holdings, vs. Liquidity Services
Performance |
| Timeline |
| Blue Apron Holdings, |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
| Liquidity Services |
Blue Apron and Liquidity Services Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Blue Apron and Liquidity Services
The main advantage of trading using opposite Blue Apron and Liquidity Services positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Blue Apron position performs unexpectedly, Liquidity Services 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 Liquidity Services will offset losses from the drop in Liquidity Services' long position.| Blue Apron vs. Hour Loop | Blue Apron vs. Wayfair | Blue Apron vs. Kidpik Corp | Blue Apron vs. Oriental Culture Holding |
| Liquidity Services vs. Qurate Retail Series | Liquidity Services vs. Qurate Retail | Liquidity Services vs. Dada Nexus | Liquidity Services vs. Natural Health Trend |
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 Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
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