Correlation Between Bank of America and Nucleus Software
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bank of America and Nucleus Software Exports, you can compare the effects of market volatilities on Bank of America and Nucleus Software 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 Bank of America with a short position of Nucleus Software. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of America and Nucleus Software.
Diversification Opportunities for Bank of America and Nucleus Software
-0.52 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Bank and Nucleus is -0.52. Overlapping area represents the amount of risk that can be diversified away by holding Bank of America and Nucleus Software Exports in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nucleus Software Exports and Bank of America 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 Bank of America are associated (or correlated) with Nucleus Software. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nucleus Software Exports has no effect on the direction of Bank of America i.e., Bank of America and Nucleus Software go up and down completely randomly.
Pair Corralation between Bank of America and Nucleus Software
Considering the 90-day investment horizon Bank of America is expected to under-perform the Nucleus Software. But the stock apears to be less risky and, when comparing its historical volatility, Bank of America is 1.86 times less risky than Nucleus Software. The stock trades about -0.03 of its potential returns per unit of risk. The Nucleus Software Exports is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest 105,030 in Nucleus Software Exports on October 26, 2024 and sell it today you would earn a total of 1,130 from holding Nucleus Software Exports or generate 1.08% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 95.24% |
| Values | Daily Returns |
Bank of America vs. Nucleus Software Exports
Performance |
| Timeline |
| Bank of America |
| Nucleus Software Exports |
Bank of America and Nucleus Software Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank of America and Nucleus Software
The main advantage of trading using opposite Bank of America and Nucleus Software positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of America position performs unexpectedly, Nucleus Software 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 Nucleus Software will offset losses from the drop in Nucleus Software's long position.| Bank of America vs. Toronto Dominion Bank | Bank of America vs. Royal Bank of | Bank of America vs. Nu Holdings | Bank of America vs. HSBC Holdings PLC |
| Nucleus Software vs. V2 Retail Limited | Nucleus Software vs. DIAMINES AND CHEMICALS | Nucleus Software vs. Tainwala Chemical and | Nucleus Software vs. JB Chemicals Pharmaceuticals |
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 Transaction History module to view history of all your transactions and understand their impact on performance.
Other Complementary Tools
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |