Correlation Between Idex Biometrics and Viq Solutions
Can any of the company-specific risk be diversified away by investing in both Idex Biometrics and Viq Solutions 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 Viq Solutions 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 Viq Solutions, you can compare the effects of market volatilities on Idex Biometrics and Viq Solutions 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 Viq Solutions. Check out your portfolio center. Please also check ongoing floating volatility patterns of Idex Biometrics and Viq Solutions.
Diversification Opportunities for Idex Biometrics and Viq Solutions
-0.18 | Correlation Coefficient |
Good diversification
The 3 months correlation between Idex and Viq is -0.18. Overlapping area represents the amount of risk that can be diversified away by holding Idex Biometrics ASA and Viq Solutions in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Viq Solutions 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 Viq Solutions. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Viq Solutions has no effect on the direction of Idex Biometrics i.e., Idex Biometrics and Viq Solutions go up and down completely randomly.
Pair Corralation between Idex Biometrics and Viq Solutions
If you would invest 33.00 in Viq Solutions on August 25, 2024 and sell it today you would earn a total of 0.00 from holding Viq Solutions or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Idex Biometrics ASA vs. Viq Solutions
Performance |
| Timeline |
| Idex Biometrics ASA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Viq Solutions |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Idex Biometrics and Viq Solutions Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Idex Biometrics and Viq Solutions
The main advantage of trading using opposite Idex Biometrics and Viq Solutions positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Idex Biometrics position performs unexpectedly, Viq Solutions 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 Viq Solutions will offset losses from the drop in Viq Solutions' long position.| Idex Biometrics vs. Bubblr Inc | Idex Biometrics vs. WonderFi Technologies | Idex Biometrics vs. Oblong Inc | Idex Biometrics vs. Where Food Comes |
| Viq Solutions vs. Ackroo Inc | Viq Solutions vs. RenoWorks Software | Viq Solutions vs. Dubber Limited | Viq Solutions vs. 01 Communique Laboratory |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
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