Correlation Between Fusion Fuel and Altitude Acquisition
Can any of the company-specific risk be diversified away by investing in both Fusion Fuel and Altitude Acquisition 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 Fusion Fuel and Altitude Acquisition into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Fusion Fuel Green and Altitude Acquisition Corp, you can compare the effects of market volatilities on Fusion Fuel and Altitude Acquisition 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 Fusion Fuel with a short position of Altitude Acquisition. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fusion Fuel and Altitude Acquisition.
Diversification Opportunities for Fusion Fuel and Altitude Acquisition
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Fusion and Altitude is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Fusion Fuel Green and Altitude Acquisition Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Altitude Acquisition Corp and Fusion Fuel 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 Fusion Fuel Green are associated (or correlated) with Altitude Acquisition. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Altitude Acquisition Corp has no effect on the direction of Fusion Fuel i.e., Fusion Fuel and Altitude Acquisition go up and down completely randomly.
Pair Corralation between Fusion Fuel and Altitude Acquisition
If you would invest 3.30 in Fusion Fuel Green on October 26, 2024 and sell it today you would lose (0.99) from holding Fusion Fuel Green or give up 30.0% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 1.69% |
| Values | Daily Returns |
Fusion Fuel Green vs. Altitude Acquisition Corp
Performance |
| Timeline |
| Fusion Fuel Green |
| Altitude Acquisition Corp |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Fusion Fuel and Altitude Acquisition Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fusion Fuel and Altitude Acquisition
The main advantage of trading using opposite Fusion Fuel and Altitude Acquisition positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fusion Fuel position performs unexpectedly, Altitude Acquisition 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 Altitude Acquisition will offset losses from the drop in Altitude Acquisition's long position.| Fusion Fuel vs. Fusion Fuel Green | Fusion Fuel vs. Advent Technologies Holdings | Fusion Fuel vs. Eos Energy Enterprises | Fusion Fuel vs. CuriosityStream |
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 AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |