Correlation Between BIT Mining and Triplepoint Venture
Can any of the company-specific risk be diversified away by investing in both BIT Mining and Triplepoint Venture 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 BIT Mining and Triplepoint Venture into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BIT Mining and Triplepoint Venture Growth, you can compare the effects of market volatilities on BIT Mining and Triplepoint Venture 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 BIT Mining with a short position of Triplepoint Venture. Check out your portfolio center. Please also check ongoing floating volatility patterns of BIT Mining and Triplepoint Venture.
Diversification Opportunities for BIT Mining and Triplepoint Venture
0.45 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between BIT and Triplepoint is 0.45. Overlapping area represents the amount of risk that can be diversified away by holding BIT Mining and Triplepoint Venture Growth in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Triplepoint Venture and BIT Mining 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 BIT Mining are associated (or correlated) with Triplepoint Venture. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Triplepoint Venture has no effect on the direction of BIT Mining i.e., BIT Mining and Triplepoint Venture go up and down completely randomly.
Pair Corralation between BIT Mining and Triplepoint Venture
Given the investment horizon of 90 days BIT Mining is expected to generate 1.47 times less return on investment than Triplepoint Venture. In addition to that, BIT Mining is 2.99 times more volatile than Triplepoint Venture Growth. It trades about 0.03 of its total potential returns per unit of risk. Triplepoint Venture Growth is currently generating about 0.15 per unit of volatility. If you would invest 734.00 in Triplepoint Venture Growth on October 25, 2024 and sell it today you would earn a total of 29.00 from holding Triplepoint Venture Growth or generate 3.95% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
BIT Mining vs. Triplepoint Venture Growth
Performance |
| Timeline |
| BIT Mining |
| Triplepoint Venture |
BIT Mining and Triplepoint Venture Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BIT Mining and Triplepoint Venture
The main advantage of trading using opposite BIT Mining and Triplepoint Venture positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BIT Mining position performs unexpectedly, Triplepoint Venture 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 Triplepoint Venture will offset losses from the drop in Triplepoint Venture's long position.| BIT Mining vs. VNET Group DRC | BIT Mining vs. GDS Holdings | BIT Mining vs. CLARIVATE PLC | BIT Mining vs. CACI International |
| Triplepoint Venture vs. BlackRock TCP Capital | Triplepoint Venture vs. Sixth Street Specialty | Triplepoint Venture vs. Golub Capital BDC | Triplepoint Venture vs. New Mountain Finance |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
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