Correlation Between BurTech Acquisition and Acri Capital
Can any of the company-specific risk be diversified away by investing in both BurTech Acquisition and Acri Capital 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 BurTech Acquisition and Acri Capital into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BurTech Acquisition Corp and Acri Capital Acquisition, you can compare the effects of market volatilities on BurTech Acquisition and Acri Capital 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 BurTech Acquisition with a short position of Acri Capital. Check out your portfolio center. Please also check ongoing floating volatility patterns of BurTech Acquisition and Acri Capital.
Diversification Opportunities for BurTech Acquisition and Acri Capital
0.41 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between BurTech and Acri is 0.41. Overlapping area represents the amount of risk that can be diversified away by holding BurTech Acquisition Corp and Acri Capital Acquisition in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Acri Capital Acquisition and BurTech Acquisition 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 BurTech Acquisition Corp are associated (or correlated) with Acri Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Acri Capital Acquisition has no effect on the direction of BurTech Acquisition i.e., BurTech Acquisition and Acri Capital go up and down completely randomly.
Pair Corralation between BurTech Acquisition and Acri Capital
If you would invest 1,137 in BurTech Acquisition Corp on August 29, 2024 and sell it today you would earn a total of 10.00 from holding BurTech Acquisition Corp or generate 0.88% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 4.35% |
| Values | Daily Returns |
BurTech Acquisition Corp vs. Acri Capital Acquisition
Performance |
| Timeline |
| BurTech Acquisition Corp |
| Acri Capital Acquisition |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
BurTech Acquisition and Acri Capital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BurTech Acquisition and Acri Capital
The main advantage of trading using opposite BurTech Acquisition and Acri Capital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BurTech Acquisition position performs unexpectedly, Acri Capital 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 Acri Capital will offset losses from the drop in Acri Capital's long position.| BurTech Acquisition vs. Swiftmerge Acquisition Corp | BurTech Acquisition vs. CF Acquisition VII | BurTech Acquisition vs. Portage Fintech Acquisition | BurTech Acquisition vs. ClimateRock Class A |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |