Correlation Between Jeffs Brands and Secoo Holding
Can any of the company-specific risk be diversified away by investing in both Jeffs Brands and Secoo Holding 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 Jeffs Brands and Secoo Holding into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jeffs Brands and Secoo Holding, you can compare the effects of market volatilities on Jeffs Brands and Secoo Holding 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 Jeffs Brands with a short position of Secoo Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jeffs Brands and Secoo Holding.
Diversification Opportunities for Jeffs Brands and Secoo Holding
-0.13 | Correlation Coefficient |
Good diversification
The 3 months correlation between Jeffs and Secoo is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Jeffs Brands and Secoo Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Secoo Holding and Jeffs Brands 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 Jeffs Brands are associated (or correlated) with Secoo Holding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Secoo Holding has no effect on the direction of Jeffs Brands i.e., Jeffs Brands and Secoo Holding go up and down completely randomly.
Pair Corralation between Jeffs Brands and Secoo Holding
If you would invest 29.00 in Jeffs Brands on August 24, 2024 and sell it today you would earn a total of 279.00 from holding Jeffs Brands or generate 962.07% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.55% |
| Values | Daily Returns |
Jeffs Brands vs. Secoo Holding
Performance |
| Timeline |
| Jeffs Brands |
| Secoo Holding |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Jeffs Brands and Secoo Holding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jeffs Brands and Secoo Holding
The main advantage of trading using opposite Jeffs Brands and Secoo Holding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jeffs Brands position performs unexpectedly, Secoo Holding 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 Secoo Holding will offset losses from the drop in Secoo Holding's long position.| Jeffs Brands vs. Hour Loop | Jeffs Brands vs. Kidpik Corp | Jeffs Brands vs. MOGU Inc | Jeffs Brands vs. Jowell Global |
| Secoo Holding vs. Kidpik Corp | Secoo Holding vs. Qurate Retail Series | Secoo Holding vs. Natural Health Trend | Secoo Holding vs. Liquidity Services |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
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