Correlation Between TEN SQUARE and X Trade
Can any of the company-specific risk be diversified away by investing in both TEN SQUARE and X Trade 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 TEN SQUARE and X Trade into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between TEN SQUARE GAMES and X Trade Brokers, you can compare the effects of market volatilities on TEN SQUARE and X Trade 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 TEN SQUARE with a short position of X Trade. Check out your portfolio center. Please also check ongoing floating volatility patterns of TEN SQUARE and X Trade.
Diversification Opportunities for TEN SQUARE and X Trade
-0.42 | Correlation Coefficient |
Very good diversification
The 3 months correlation between TEN and XTB is -0.42. Overlapping area represents the amount of risk that can be diversified away by holding TEN SQUARE GAMES and X Trade Brokers in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on X Trade Brokers and TEN SQUARE 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 TEN SQUARE GAMES are associated (or correlated) with X Trade. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of X Trade Brokers has no effect on the direction of TEN SQUARE i.e., TEN SQUARE and X Trade go up and down completely randomly.
Pair Corralation between TEN SQUARE and X Trade
Assuming the 90 days trading horizon TEN SQUARE GAMES is expected to generate 0.59 times more return on investment than X Trade. However, TEN SQUARE GAMES is 1.68 times less risky than X Trade. It trades about 0.06 of its potential returns per unit of risk. X Trade Brokers is currently generating about -0.2 per unit of risk. If you would invest 7,660 in TEN SQUARE GAMES on November 5, 2024 and sell it today you would earn a total of 175.00 from holding TEN SQUARE GAMES or generate 2.28% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
TEN SQUARE GAMES vs. X Trade Brokers
Performance |
| Timeline |
| TEN SQUARE GAMES |
| X Trade Brokers |
TEN SQUARE and X Trade Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with TEN SQUARE and X Trade
The main advantage of trading using opposite TEN SQUARE and X Trade positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if TEN SQUARE position performs unexpectedly, X Trade 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 X Trade will offset losses from the drop in X Trade's long position.| TEN SQUARE vs. CD PROJEKT SA | TEN SQUARE vs. PLAYWAY SA | TEN SQUARE vs. 11 bit studios | TEN SQUARE vs. CI Games SA |
| X Trade vs. Skyline Investment SA | X Trade vs. Asseco Business Solutions | X Trade vs. Movie Games SA | X Trade vs. Altustfi |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
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