Correlation Between Examobile and New Tech
Can any of the company-specific risk be diversified away by investing in both Examobile and New Tech 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 Examobile and New Tech into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Examobile SA and New Tech Venture, you can compare the effects of market volatilities on Examobile and New Tech 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 Examobile with a short position of New Tech. Check out your portfolio center. Please also check ongoing floating volatility patterns of Examobile and New Tech.
Diversification Opportunities for Examobile and New Tech
Good diversification
The 3 months correlation between Examobile and New is -0.15. Overlapping area represents the amount of risk that can be diversified away by holding Examobile SA and New Tech Venture in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on New Tech Venture and Examobile 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 Examobile SA are associated (or correlated) with New Tech. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of New Tech Venture has no effect on the direction of Examobile i.e., Examobile and New Tech go up and down completely randomly.
Pair Corralation between Examobile and New Tech
Assuming the 90 days trading horizon Examobile SA is expected to generate 0.75 times more return on investment than New Tech. However, Examobile SA is 1.33 times less risky than New Tech. It trades about 0.41 of its potential returns per unit of risk. New Tech Venture is currently generating about -0.22 per unit of risk. If you would invest 314.00 in Examobile SA on November 8, 2024 and sell it today you would earn a total of 20.00 from holding Examobile SA or generate 6.37% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 55.0% |
| Values | Daily Returns |
Examobile SA vs. New Tech Venture
Performance |
| Timeline |
| Examobile SA |
| New Tech Venture |
Examobile and New Tech Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Examobile and New Tech
The main advantage of trading using opposite Examobile and New Tech positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Examobile position performs unexpectedly, New Tech 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 New Tech will offset losses from the drop in New Tech's long position.| Examobile vs. Movie Games SA | Examobile vs. UF Games SA | Examobile vs. Skyline Investment SA | Examobile vs. X Trade Brokers |
| New Tech vs. TEN SQUARE GAMES | New Tech vs. Centrum Finansowe Banku | New Tech vs. Bank Millennium SA | New Tech vs. True Games Syndicate |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges |