Correlation Between Idex Biometrics and EGain
Can any of the company-specific risk be diversified away by investing in both Idex Biometrics and EGain 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 Idex Biometrics and EGain into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Idex Biometrics ASA and eGain, you can compare the effects of market volatilities on Idex Biometrics and EGain 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 Idex Biometrics with a short position of EGain. Check out your portfolio center. Please also check ongoing floating volatility patterns of Idex Biometrics and EGain.
Diversification Opportunities for Idex Biometrics and EGain
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Idex and EGain is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Idex Biometrics ASA and eGain in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on eGain and Idex Biometrics 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 Idex Biometrics ASA are associated (or correlated) with EGain. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of eGain has no effect on the direction of Idex Biometrics i.e., Idex Biometrics and EGain go up and down completely randomly.
Pair Corralation between Idex Biometrics and EGain
If you would invest 614.00 in eGain on November 3, 2024 and sell it today you would lose (4.00) from holding eGain or give up 0.65% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 4.76% |
| Values | Daily Returns |
Idex Biometrics ASA vs. eGain
Performance |
| Timeline |
| Idex Biometrics ASA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| eGain |
Idex Biometrics and EGain Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Idex Biometrics and EGain
The main advantage of trading using opposite Idex Biometrics and EGain positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Idex Biometrics position performs unexpectedly, EGain 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 EGain will offset losses from the drop in EGain's long position.| Idex Biometrics vs. Bubblr Inc | Idex Biometrics vs. WonderFi Technologies | Idex Biometrics vs. Oblong Inc | Idex Biometrics vs. Where Food Comes |
| EGain vs. Issuer Direct Corp | EGain vs. Research Solutions | EGain vs. Alkami Technology | EGain vs. Agilysys |
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 Stocks Directory module to find actively traded stocks across global markets.
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