Correlation Between My Foodie and Atomos
Can any of the company-specific risk be diversified away by investing in both My Foodie and Atomos 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 My Foodie and Atomos into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between My Foodie Box and Atomos, you can compare the effects of market volatilities on My Foodie and Atomos 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 My Foodie with a short position of Atomos. Check out your portfolio center. Please also check ongoing floating volatility patterns of My Foodie and Atomos.
Diversification Opportunities for My Foodie and Atomos
Pay attention - limited upside
The 3 months correlation between MBX and Atomos is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding My Foodie Box and Atomos in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Atomos and My Foodie 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 My Foodie Box are associated (or correlated) with Atomos. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Atomos has no effect on the direction of My Foodie i.e., My Foodie and Atomos go up and down completely randomly.
Pair Corralation between My Foodie and Atomos
Assuming the 90 days trading horizon My Foodie Box is expected to generate 0.31 times more return on investment than Atomos. However, My Foodie Box is 3.2 times less risky than Atomos. It trades about -0.05 of its potential returns per unit of risk. Atomos is currently generating about -0.06 per unit of risk. If you would invest 0.60 in My Foodie Box on September 12, 2024 and sell it today you would lose (0.20) from holding My Foodie Box or give up 33.33% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 98.88% |
| Values | Daily Returns |
My Foodie Box vs. Atomos
Performance |
| Timeline |
| My Foodie Box |
| Atomos |
My Foodie and Atomos Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with My Foodie and Atomos
The main advantage of trading using opposite My Foodie and Atomos positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if My Foodie position performs unexpectedly, Atomos 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 Atomos will offset losses from the drop in Atomos' long position.| My Foodie vs. Tlou Energy | My Foodie vs. Southern Cross Gold | My Foodie vs. Minbos Resources | My Foodie vs. Elevate Uranium |
| Atomos vs. Aneka Tambang Tbk | Atomos vs. BHP Group Limited | Atomos vs. Commonwealth Bank | Atomos vs. Commonwealth Bank of |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |