Correlation Between Freedom Holding and EVERSOURCE
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By analyzing existing cross correlation between Freedom Holding Corp and EVERSOURCE ENERGY 33, you can compare the effects of market volatilities on Freedom Holding and EVERSOURCE 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 Freedom Holding with a short position of EVERSOURCE. Check out your portfolio center. Please also check ongoing floating volatility patterns of Freedom Holding and EVERSOURCE.
Diversification Opportunities for Freedom Holding and EVERSOURCE
-0.45 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Freedom and EVERSOURCE is -0.45. Overlapping area represents the amount of risk that can be diversified away by holding Freedom Holding Corp and EVERSOURCE ENERGY 33 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EVERSOURCE ENERGY and Freedom Holding 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 Freedom Holding Corp are associated (or correlated) with EVERSOURCE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EVERSOURCE ENERGY has no effect on the direction of Freedom Holding i.e., Freedom Holding and EVERSOURCE go up and down completely randomly.
Pair Corralation between Freedom Holding and EVERSOURCE
Given the investment horizon of 90 days Freedom Holding Corp is expected to generate 2.53 times more return on investment than EVERSOURCE. However, Freedom Holding is 2.53 times more volatile than EVERSOURCE ENERGY 33. It trades about 0.07 of its potential returns per unit of risk. EVERSOURCE ENERGY 33 is currently generating about 0.01 per unit of risk. If you would invest 6,283 in Freedom Holding Corp on September 3, 2024 and sell it today you would earn a total of 5,605 from holding Freedom Holding Corp or generate 89.21% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 78.38% |
| Values | Daily Returns |
Freedom Holding Corp vs. EVERSOURCE ENERGY 33
Performance |
| Timeline |
| Freedom Holding Corp |
| EVERSOURCE ENERGY |
Freedom Holding and EVERSOURCE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Freedom Holding and EVERSOURCE
The main advantage of trading using opposite Freedom Holding and EVERSOURCE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Freedom Holding position performs unexpectedly, EVERSOURCE 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 EVERSOURCE will offset losses from the drop in EVERSOURCE's long position.| Freedom Holding vs. Riot Blockchain | Freedom Holding vs. Marathon Digital Holdings | Freedom Holding vs. Applied Blockchain | Freedom Holding vs. Hut 8 Corp |
| EVERSOURCE vs. Artisan Partners Asset | EVERSOURCE vs. Freedom Holding Corp | EVERSOURCE vs. Newell Brands | EVERSOURCE vs. Hannon Armstrong Sustainable |
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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
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