Correlation Between ICOA and GiveMePower Corp
Can any of the company-specific risk be diversified away by investing in both ICOA and GiveMePower Corp 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 ICOA and GiveMePower Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between ICOA Inc and GiveMePower Corp, you can compare the effects of market volatilities on ICOA and GiveMePower Corp 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 ICOA with a short position of GiveMePower Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of ICOA and GiveMePower Corp.
Diversification Opportunities for ICOA and GiveMePower Corp
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between ICOA and GiveMePower is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding ICOA Inc and GiveMePower Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GiveMePower Corp and ICOA 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 ICOA Inc are associated (or correlated) with GiveMePower Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GiveMePower Corp has no effect on the direction of ICOA i.e., ICOA and GiveMePower Corp go up and down completely randomly.
Pair Corralation between ICOA and GiveMePower Corp
Given the investment horizon of 90 days ICOA Inc is not expected to generate positive returns. Moreover, ICOA is 1.13 times more volatile than GiveMePower Corp. It trades away all of its potential returns to assume current level of volatility. GiveMePower Corp is currently generating about 0.02 per unit of risk. If you would invest 2.39 in GiveMePower Corp on September 1, 2024 and sell it today you would lose (1.92) from holding GiveMePower Corp or give up 80.33% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
ICOA Inc vs. GiveMePower Corp
Performance |
| Timeline |
| ICOA Inc |
| GiveMePower Corp |
ICOA and GiveMePower Corp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with ICOA and GiveMePower Corp
The main advantage of trading using opposite ICOA and GiveMePower Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if ICOA position performs unexpectedly, GiveMePower Corp 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 GiveMePower Corp will offset losses from the drop in GiveMePower Corp's long position.The idea behind ICOA Inc and GiveMePower Corp pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| GiveMePower Corp vs. Axis Technologies Group | GiveMePower Corp vs. Vortex Brands Co | GiveMePower Corp vs. Sysorex | GiveMePower Corp vs. XTRA Bitcoin |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Other Complementary Tools
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings |