Correlation Between MMTEC and My Size
Can any of the company-specific risk be diversified away by investing in both MMTEC and My Size 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 MMTEC and My Size into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between MMTEC Inc and My Size, you can compare the effects of market volatilities on MMTEC and My Size 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 MMTEC with a short position of My Size. Check out your portfolio center. Please also check ongoing floating volatility patterns of MMTEC and My Size.
Diversification Opportunities for MMTEC and My Size
Very good diversification
The 3 months correlation between MMTEC and MYSZ is -0.48. Overlapping area represents the amount of risk that can be diversified away by holding MMTEC Inc and My Size in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on My Size and MMTEC 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 MMTEC Inc are associated (or correlated) with My Size. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of My Size has no effect on the direction of MMTEC i.e., MMTEC and My Size go up and down completely randomly.
Pair Corralation between MMTEC and My Size
Considering the 90-day investment horizon MMTEC Inc is expected to generate 0.44 times more return on investment than My Size. However, MMTEC Inc is 2.26 times less risky than My Size. It trades about 0.15 of its potential returns per unit of risk. My Size is currently generating about -0.08 per unit of risk. If you would invest 130.00 in MMTEC Inc on October 22, 2024 and sell it today you would earn a total of 22.00 from holding MMTEC Inc or generate 16.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
MMTEC Inc vs. My Size
Performance |
| Timeline |
| MMTEC Inc |
| My Size |
MMTEC and My Size Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with MMTEC and My Size
The main advantage of trading using opposite MMTEC and My Size positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if MMTEC position performs unexpectedly, My Size 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 My Size will offset losses from the drop in My Size's long position.The idea behind MMTEC Inc and My Size 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.| My Size vs. Oneconnect Financial Technology | My Size vs. Trust Stamp | My Size vs. Amesite Operating Co | My Size vs. Infobird Co |
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 Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
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