Correlation Between BOS Better and ROC Energy
Can any of the company-specific risk be diversified away by investing in both BOS Better and ROC Energy 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 BOS Better and ROC Energy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BOS Better Online and ROC Energy Acquisition, you can compare the effects of market volatilities on BOS Better and ROC Energy 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 BOS Better with a short position of ROC Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of BOS Better and ROC Energy.
Diversification Opportunities for BOS Better and ROC Energy
-0.89 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between BOS and ROC is -0.89. Overlapping area represents the amount of risk that can be diversified away by holding BOS Better Online and ROC Energy Acquisition in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ROC Energy Acquisition and BOS Better 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 BOS Better Online are associated (or correlated) with ROC Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ROC Energy Acquisition has no effect on the direction of BOS Better i.e., BOS Better and ROC Energy go up and down completely randomly.
Pair Corralation between BOS Better and ROC Energy
If you would invest 292.00 in BOS Better Online on September 4, 2024 and sell it today you would earn a total of 51.00 from holding BOS Better Online or generate 17.47% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 4.76% |
| Values | Daily Returns |
BOS Better Online vs. ROC Energy Acquisition
Performance |
| Timeline |
| BOS Better Online |
| ROC Energy Acquisition |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
BOS Better and ROC Energy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BOS Better and ROC Energy
The main advantage of trading using opposite BOS Better and ROC Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BOS Better position performs unexpectedly, ROC Energy 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 ROC Energy will offset losses from the drop in ROC Energy's long position.| BOS Better vs. Mynaric AG ADR | BOS Better vs. Knowles Cor | BOS Better vs. Comtech Telecommunications Corp | BOS Better vs. Ituran Location and |
| ROC Energy vs. Fluent Inc | ROC Energy vs. Triton International Limited | ROC Energy vs. Mitsubishi UFJ Lease | ROC Energy vs. China Aircraft Leasing |
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 Stocks Directory module to find actively traded stocks across global markets.
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