Correlation Between Maverick Protocol and Uniswap Protocol
Can any of the company-specific risk be diversified away by investing in both Maverick Protocol and Uniswap Protocol 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 Maverick Protocol and Uniswap Protocol into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Maverick Protocol and Uniswap Protocol Token, you can compare the effects of market volatilities on Maverick Protocol and Uniswap Protocol 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 Maverick Protocol with a short position of Uniswap Protocol. Check out your portfolio center. Please also check ongoing floating volatility patterns of Maverick Protocol and Uniswap Protocol.
Diversification Opportunities for Maverick Protocol and Uniswap Protocol
0.71 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Maverick and Uniswap is 0.71. Overlapping area represents the amount of risk that can be diversified away by holding Maverick Protocol and Uniswap Protocol Token in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Uniswap Protocol Token and Maverick Protocol 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 Maverick Protocol are associated (or correlated) with Uniswap Protocol. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Uniswap Protocol Token has no effect on the direction of Maverick Protocol i.e., Maverick Protocol and Uniswap Protocol go up and down completely randomly.
Pair Corralation between Maverick Protocol and Uniswap Protocol
Assuming the 90 days trading horizon Maverick Protocol is expected to under-perform the Uniswap Protocol. In addition to that, Maverick Protocol is 1.07 times more volatile than Uniswap Protocol Token. It trades about -0.39 of its total potential returns per unit of risk. Uniswap Protocol Token is currently generating about -0.09 per unit of volatility. If you would invest 1,360 in Uniswap Protocol Token on November 1, 2024 and sell it today you would lose (188.00) from holding Uniswap Protocol Token or give up 13.82% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Maverick Protocol vs. Uniswap Protocol Token
Performance |
| Timeline |
| Maverick Protocol |
| Uniswap Protocol Token |
Maverick Protocol and Uniswap Protocol Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Maverick Protocol and Uniswap Protocol
The main advantage of trading using opposite Maverick Protocol and Uniswap Protocol positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Maverick Protocol position performs unexpectedly, Uniswap Protocol 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 Uniswap Protocol will offset losses from the drop in Uniswap Protocol's long position.| Maverick Protocol vs. Staked Ether | Maverick Protocol vs. Phala Network | Maverick Protocol vs. EigenLayer | Maverick Protocol vs. EOSDAC |
| Uniswap Protocol vs. Staked Ether | Uniswap Protocol vs. Phala Network | Uniswap Protocol vs. EigenLayer | Uniswap Protocol vs. EOSDAC |
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.
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