Correlation Between Ondas Holdings and Actelis Networks
Can any of the company-specific risk be diversified away by investing in both Ondas Holdings and Actelis Networks 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 Ondas Holdings and Actelis Networks into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ondas Holdings and Actelis Networks, you can compare the effects of market volatilities on Ondas Holdings and Actelis Networks 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 Ondas Holdings with a short position of Actelis Networks. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ondas Holdings and Actelis Networks.
Diversification Opportunities for Ondas Holdings and Actelis Networks
0.05 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Ondas and Actelis is 0.05. Overlapping area represents the amount of risk that can be diversified away by holding Ondas Holdings and Actelis Networks in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Actelis Networks and Ondas Holdings 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 Ondas Holdings are associated (or correlated) with Actelis Networks. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Actelis Networks has no effect on the direction of Ondas Holdings i.e., Ondas Holdings and Actelis Networks go up and down completely randomly.
Pair Corralation between Ondas Holdings and Actelis Networks
Given the investment horizon of 90 days Ondas Holdings is expected to generate 1.69 times more return on investment than Actelis Networks. However, Ondas Holdings is 1.69 times more volatile than Actelis Networks. It trades about -0.03 of its potential returns per unit of risk. Actelis Networks is currently generating about -0.18 per unit of risk. If you would invest 86.00 in Ondas Holdings on August 24, 2024 and sell it today you would lose (5.00) from holding Ondas Holdings or give up 5.81% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 95.65% |
| Values | Daily Returns |
Ondas Holdings vs. Actelis Networks
Performance |
| Timeline |
| Ondas Holdings |
| Actelis Networks |
Ondas Holdings and Actelis Networks Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ondas Holdings and Actelis Networks
The main advantage of trading using opposite Ondas Holdings and Actelis Networks positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ondas Holdings position performs unexpectedly, Actelis Networks 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 Actelis Networks will offset losses from the drop in Actelis Networks' long position.| Ondas Holdings vs. Hewlett Packard Enterprise | Ondas Holdings vs. Juniper Networks | Ondas Holdings vs. Ciena Corp | Ondas Holdings vs. Motorola Solutions |
| Actelis Networks vs. ClearOne | Actelis Networks vs. Siyata Mobile | Actelis Networks vs. SatixFy Communications | Actelis Networks vs. Optical Cable |
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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
| Stocks Directory Find actively traded stocks across global markets | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format |