Correlation Between Cepton and Anghami De
Can any of the company-specific risk be diversified away by investing in both Cepton and Anghami De 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 Cepton and Anghami De into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cepton Inc and Anghami De, you can compare the effects of market volatilities on Cepton and Anghami De 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 Cepton with a short position of Anghami De. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cepton and Anghami De.
Diversification Opportunities for Cepton and Anghami De
-0.39 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Cepton and Anghami is -0.39. Overlapping area represents the amount of risk that can be diversified away by holding Cepton Inc and Anghami De in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Anghami De and Cepton 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 Cepton Inc are associated (or correlated) with Anghami De. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Anghami De has no effect on the direction of Cepton i.e., Cepton and Anghami De go up and down completely randomly.
Pair Corralation between Cepton and Anghami De
Assuming the 90 days horizon Cepton Inc is expected to generate 1.77 times more return on investment than Anghami De. However, Cepton is 1.77 times more volatile than Anghami De. It trades about 0.06 of its potential returns per unit of risk. Anghami De is currently generating about 0.03 per unit of risk. If you would invest 1.87 in Cepton Inc on September 1, 2024 and sell it today you would lose (0.97) from holding Cepton Inc or give up 51.87% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 88.48% |
| Values | Daily Returns |
Cepton Inc vs. Anghami De
Performance |
| Timeline |
| Cepton Inc |
| Anghami De |
Cepton and Anghami De Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Cepton and Anghami De
The main advantage of trading using opposite Cepton and Anghami De positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cepton position performs unexpectedly, Anghami De 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 Anghami De will offset losses from the drop in Anghami De's long position.| Cepton vs. Cepton Inc | Cepton vs. Thayer Ventures Acquisition | Cepton vs. Anghami Warrants | Cepton vs. Inspirato |
| Anghami De vs. American Picture House | Anghami De vs. Anghami Warrants | Anghami De vs. Aftermaster | Anghami De vs. Maxx Sports TV |
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 Bonds Directory module to find actively traded corporate debentures issued by US companies.
Other Complementary Tools
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Stocks Directory Find actively traded stocks across global markets | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities |