Correlation Between Crowdstrike Holdings and Global Blue
Can any of the company-specific risk be diversified away by investing in both Crowdstrike Holdings and Global Blue 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 Crowdstrike Holdings and Global Blue into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Crowdstrike Holdings and Global Blue Group, you can compare the effects of market volatilities on Crowdstrike Holdings and Global Blue 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 Crowdstrike Holdings with a short position of Global Blue. Check out your portfolio center. Please also check ongoing floating volatility patterns of Crowdstrike Holdings and Global Blue.
Diversification Opportunities for Crowdstrike Holdings and Global Blue
0.4 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Crowdstrike and Global is 0.4. Overlapping area represents the amount of risk that can be diversified away by holding Crowdstrike Holdings and Global Blue Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Global Blue Group and Crowdstrike Holdings 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 Crowdstrike Holdings are associated (or correlated) with Global Blue. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Global Blue Group has no effect on the direction of Crowdstrike Holdings i.e., Crowdstrike Holdings and Global Blue go up and down completely randomly.
Pair Corralation between Crowdstrike Holdings and Global Blue
Given the investment horizon of 90 days Crowdstrike Holdings is expected to generate 0.82 times more return on investment than Global Blue. However, Crowdstrike Holdings is 1.22 times less risky than Global Blue. It trades about 0.11 of its potential returns per unit of risk. Global Blue Group is currently generating about 0.04 per unit of risk. If you would invest 10,437 in Crowdstrike Holdings on August 26, 2024 and sell it today you would earn a total of 26,789 from holding Crowdstrike Holdings or generate 256.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Crowdstrike Holdings vs. Global Blue Group
Performance |
| Timeline |
| Crowdstrike Holdings |
| Global Blue Group |
Crowdstrike Holdings and Global Blue Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Crowdstrike Holdings and Global Blue
The main advantage of trading using opposite Crowdstrike Holdings and Global Blue positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Crowdstrike Holdings position performs unexpectedly, Global Blue 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 Global Blue will offset losses from the drop in Global Blue's long position.| Crowdstrike Holdings vs. GigaCloud Technology Class | Crowdstrike Holdings vs. Arqit Quantum | Crowdstrike Holdings vs. Telos Corp | Crowdstrike Holdings vs. Cemtrex |
| Global Blue vs. Evertec | Global Blue vs. Consensus Cloud Solutions | Global Blue vs. CSG Systems International | Global Blue vs. EverCommerce |
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 Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
Other Complementary Tools
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |