Correlation Between Infobird and Friendable
Can any of the company-specific risk be diversified away by investing in both Infobird and Friendable 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 Infobird and Friendable into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Infobird Co and Friendable, you can compare the effects of market volatilities on Infobird and Friendable 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 Infobird with a short position of Friendable. Check out your portfolio center. Please also check ongoing floating volatility patterns of Infobird and Friendable.
Diversification Opportunities for Infobird and Friendable
0.02 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Infobird and Friendable is 0.02. Overlapping area represents the amount of risk that can be diversified away by holding Infobird Co and Friendable in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Friendable and Infobird 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 Infobird Co are associated (or correlated) with Friendable. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Friendable has no effect on the direction of Infobird i.e., Infobird and Friendable go up and down completely randomly.
Pair Corralation between Infobird and Friendable
Given the investment horizon of 90 days Infobird is expected to generate 31.5 times less return on investment than Friendable. In addition to that, Infobird is 1.88 times more volatile than Friendable. It trades about 0.0 of its total potential returns per unit of risk. Friendable is currently generating about 0.03 per unit of volatility. If you would invest 0.01 in Friendable on August 29, 2024 and sell it today you would earn a total of 0.00 from holding Friendable or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 99.6% |
| Values | Daily Returns |
Infobird Co vs. Friendable
Performance |
| Timeline |
| Infobird |
| Friendable |
Infobird and Friendable Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Infobird and Friendable
The main advantage of trading using opposite Infobird and Friendable positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Infobird position performs unexpectedly, Friendable 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 Friendable will offset losses from the drop in Friendable's long position.| Infobird vs. HeartCore Enterprises | Infobird vs. Beamr Imaging Ltd | Infobird vs. Trust Stamp | Infobird vs. CXApp Inc |
| Friendable vs. RenoWorks Software | Friendable vs. LifeSpeak | Friendable vs. 01 Communique Laboratory | Friendable vs. On4 Communications |
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 Content Syndication module to quickly integrate customizable finance content to your own investment portal.
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