Correlation Between Bowmo and Two Hands
Can any of the company-specific risk be diversified away by investing in both Bowmo and Two Hands 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 Bowmo and Two Hands into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bowmo Inc and Two Hands Corp, you can compare the effects of market volatilities on Bowmo and Two Hands 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 Bowmo with a short position of Two Hands. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bowmo and Two Hands.
Diversification Opportunities for Bowmo and Two Hands
Good diversification
The 3 months correlation between Bowmo and Two is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Bowmo Inc and Two Hands Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Two Hands Corp and Bowmo 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 Bowmo Inc are associated (or correlated) with Two Hands. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Two Hands Corp has no effect on the direction of Bowmo i.e., Bowmo and Two Hands go up and down completely randomly.
Pair Corralation between Bowmo and Two Hands
Given the investment horizon of 90 days Bowmo is expected to generate 1.61 times less return on investment than Two Hands. In addition to that, Bowmo is 1.37 times more volatile than Two Hands Corp. It trades about 0.17 of its total potential returns per unit of risk. Two Hands Corp is currently generating about 0.37 per unit of volatility. If you would invest 0.12 in Two Hands Corp on January 8, 2025 and sell it today you would earn a total of 0.48 from holding Two Hands Corp or generate 400.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 95.45% |
| Values | Daily Returns |
Bowmo Inc vs. Two Hands Corp
Performance |
| Timeline |
| Bowmo Inc |
| Two Hands Corp |
Bowmo and Two Hands Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bowmo and Two Hands
The main advantage of trading using opposite Bowmo and Two Hands positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bowmo position performs unexpectedly, Two Hands 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 Two Hands will offset losses from the drop in Two Hands' long position.| Bowmo vs. Harrison Vickers and | Bowmo vs. Protext Mobility | Bowmo vs. TonnerOne World Holdings | Bowmo vs. Trans Global Grp |
| Two Hands vs. 01 Communique Laboratory | Two Hands vs. RESAAS Services | Two Hands vs. Aquagold International | Two Hands vs. Morningstar Unconstrained Allocation |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Stocks Directory Find actively traded stocks across global markets | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine |