Correlation Between Imagicaaworld Entertainment and BF Utilities
Specify exactly 2 symbols:
By analyzing existing cross correlation between Imagicaaworld Entertainment Limited and BF Utilities Limited, you can compare the effects of market volatilities on Imagicaaworld Entertainment and BF Utilities 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 Imagicaaworld Entertainment with a short position of BF Utilities. Check out your portfolio center. Please also check ongoing floating volatility patterns of Imagicaaworld Entertainment and BF Utilities.
Diversification Opportunities for Imagicaaworld Entertainment and BF Utilities
0.28 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Imagicaaworld and BFUTILITIE is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding Imagicaaworld Entertainment Li and BF Utilities Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BF Utilities Limited and Imagicaaworld Entertainment 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 Imagicaaworld Entertainment Limited are associated (or correlated) with BF Utilities. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BF Utilities Limited has no effect on the direction of Imagicaaworld Entertainment i.e., Imagicaaworld Entertainment and BF Utilities go up and down completely randomly.
Pair Corralation between Imagicaaworld Entertainment and BF Utilities
Assuming the 90 days trading horizon Imagicaaworld Entertainment Limited is expected to generate 0.95 times more return on investment than BF Utilities. However, Imagicaaworld Entertainment Limited is 1.05 times less risky than BF Utilities. It trades about -0.11 of its potential returns per unit of risk. BF Utilities Limited is currently generating about -0.3 per unit of risk. If you would invest 7,178 in Imagicaaworld Entertainment Limited on October 25, 2024 and sell it today you would lose (495.00) from holding Imagicaaworld Entertainment Limited or give up 6.9% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Imagicaaworld Entertainment Li vs. BF Utilities Limited
Performance |
| Timeline |
| Imagicaaworld Entertainment |
| BF Utilities Limited |
Imagicaaworld Entertainment and BF Utilities Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Imagicaaworld Entertainment and BF Utilities
The main advantage of trading using opposite Imagicaaworld Entertainment and BF Utilities positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Imagicaaworld Entertainment position performs unexpectedly, BF Utilities 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 BF Utilities will offset losses from the drop in BF Utilities' long position.The idea behind Imagicaaworld Entertainment Limited and BF Utilities Limited 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.
| BF Utilities vs. Network18 Media Investments | BF Utilities vs. SIL Investments Limited | BF Utilities vs. Imagicaaworld Entertainment Limited | BF Utilities vs. Bodhi Tree Multimedia |
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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Money Managers Screen money managers from public funds and ETFs managed around the world |