Correlation Between Advanced Health and Dubber
Can any of the company-specific risk be diversified away by investing in both Advanced Health and Dubber 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 Advanced Health and Dubber into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Advanced Health Intelligence and Dubber Limited, you can compare the effects of market volatilities on Advanced Health and Dubber 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 Advanced Health with a short position of Dubber. Check out your portfolio center. Please also check ongoing floating volatility patterns of Advanced Health and Dubber.
Diversification Opportunities for Advanced Health and Dubber
-0.14 | Correlation Coefficient |
Good diversification
The 3 months correlation between Advanced and Dubber is -0.14. Overlapping area represents the amount of risk that can be diversified away by holding Advanced Health Intelligence and Dubber Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dubber Limited and Advanced Health 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 Advanced Health Intelligence are associated (or correlated) with Dubber. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dubber Limited has no effect on the direction of Advanced Health i.e., Advanced Health and Dubber go up and down completely randomly.
Pair Corralation between Advanced Health and Dubber
Assuming the 90 days horizon Advanced Health Intelligence is expected to generate 1.79 times more return on investment than Dubber. However, Advanced Health is 1.79 times more volatile than Dubber Limited. It trades about 0.1 of its potential returns per unit of risk. Dubber Limited is currently generating about 0.04 per unit of risk. If you would invest 11.00 in Advanced Health Intelligence on September 12, 2024 and sell it today you would lose (10.60) from holding Advanced Health Intelligence or give up 96.36% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 99.4% |
| Values | Daily Returns |
Advanced Health Intelligence vs. Dubber Limited
Performance |
| Timeline |
| Advanced Health Inte |
| Dubber Limited |
Advanced Health and Dubber Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Advanced Health and Dubber
The main advantage of trading using opposite Advanced Health and Dubber positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Advanced Health position performs unexpectedly, Dubber 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 Dubber will offset losses from the drop in Dubber's long position.| Advanced Health vs. Amkor Technology | Advanced Health vs. Acm Research | Advanced Health vs. Payoneer Global | Advanced Health vs. Asure Software |
| Dubber vs. Intouch Insight | Dubber vs. Advanced Health Intelligence | Dubber vs. Adcore Inc | Dubber vs. ProStar Holdings |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
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