Correlation Between Bitwise Crypto and Anfield Dynamic
Can any of the company-specific risk be diversified away by investing in both Bitwise Crypto and Anfield Dynamic 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 Bitwise Crypto and Anfield Dynamic into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bitwise Crypto Industry and Anfield Dynamic Fixed, you can compare the effects of market volatilities on Bitwise Crypto and Anfield Dynamic 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 Bitwise Crypto with a short position of Anfield Dynamic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bitwise Crypto and Anfield Dynamic.
Diversification Opportunities for Bitwise Crypto and Anfield Dynamic
0.52 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Bitwise and Anfield is 0.52. Overlapping area represents the amount of risk that can be diversified away by holding Bitwise Crypto Industry and Anfield Dynamic Fixed in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anfield Dynamic Fixed and Bitwise Crypto 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 Bitwise Crypto Industry are associated (or correlated) with Anfield Dynamic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anfield Dynamic Fixed has no effect on the direction of Bitwise Crypto i.e., Bitwise Crypto and Anfield Dynamic go up and down completely randomly.
Pair Corralation between Bitwise Crypto and Anfield Dynamic
Given the investment horizon of 90 days Bitwise Crypto Industry is expected to generate 8.89 times more return on investment than Anfield Dynamic. However, Bitwise Crypto is 8.89 times more volatile than Anfield Dynamic Fixed. It trades about 0.0 of its potential returns per unit of risk. Anfield Dynamic Fixed is currently generating about 0.0 per unit of risk. If you would invest 1,933 in Bitwise Crypto Industry on November 18, 2024 and sell it today you would lose (94.00) from holding Bitwise Crypto Industry or give up 4.86% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bitwise Crypto Industry vs. Anfield Dynamic Fixed
Performance |
| Timeline |
| Bitwise Crypto Industry |
| Anfield Dynamic Fixed |
Bitwise Crypto and Anfield Dynamic Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bitwise Crypto and Anfield Dynamic
The main advantage of trading using opposite Bitwise Crypto and Anfield Dynamic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bitwise Crypto position performs unexpectedly, Anfield Dynamic 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 Anfield Dynamic will offset losses from the drop in Anfield Dynamic's long position.| Bitwise Crypto vs. Bitwise 10 Crypto | Bitwise Crypto vs. VanEck Digital Transformation | Bitwise Crypto vs. Global X Blockchain | Bitwise Crypto vs. First Trust Indxx |
| Anfield Dynamic vs. Anfield Equity Sector | Anfield Dynamic vs. Aptus Drawdown Managed | Anfield Dynamic vs. Anfield Universal Fixed | Anfield Dynamic vs. Aptus Collared Income |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Complementary Tools
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |