Correlation Between Triplepoint Venture and Oxford Square
Can any of the company-specific risk be diversified away by investing in both Triplepoint Venture and Oxford Square 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 Triplepoint Venture and Oxford Square into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Triplepoint Venture Growth and Oxford Square Capital, you can compare the effects of market volatilities on Triplepoint Venture and Oxford Square 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 Triplepoint Venture with a short position of Oxford Square. Check out your portfolio center. Please also check ongoing floating volatility patterns of Triplepoint Venture and Oxford Square.
Diversification Opportunities for Triplepoint Venture and Oxford Square
-0.59 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Triplepoint and Oxford is -0.59. Overlapping area represents the amount of risk that can be diversified away by holding Triplepoint Venture Growth and Oxford Square Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Oxford Square Capital and Triplepoint Venture 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 Triplepoint Venture Growth are associated (or correlated) with Oxford Square. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Oxford Square Capital has no effect on the direction of Triplepoint Venture i.e., Triplepoint Venture and Oxford Square go up and down completely randomly.
Pair Corralation between Triplepoint Venture and Oxford Square
Given the investment horizon of 90 days Triplepoint Venture Growth is expected to generate 2.48 times more return on investment than Oxford Square. However, Triplepoint Venture is 2.48 times more volatile than Oxford Square Capital. It trades about 0.31 of its potential returns per unit of risk. Oxford Square Capital is currently generating about -0.32 per unit of risk. If you would invest 680.00 in Triplepoint Venture Growth on August 29, 2024 and sell it today you would earn a total of 136.00 from holding Triplepoint Venture Growth or generate 20.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Triplepoint Venture Growth vs. Oxford Square Capital
Performance |
| Timeline |
| Triplepoint Venture |
| Oxford Square Capital |
Triplepoint Venture and Oxford Square Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Triplepoint Venture and Oxford Square
The main advantage of trading using opposite Triplepoint Venture and Oxford Square positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Triplepoint Venture position performs unexpectedly, Oxford Square 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 Oxford Square will offset losses from the drop in Oxford Square's long position.| Triplepoint Venture vs. BlackRock TCP Capital | Triplepoint Venture vs. Sixth Street Specialty | Triplepoint Venture vs. Golub Capital BDC | Triplepoint Venture vs. New Mountain Finance |
| Oxford Square vs. Eagle Point Credit | Oxford Square vs. Cornerstone Strategic Return | Oxford Square vs. Cornerstone Strategic Value | Oxford Square vs. Guggenheim Strategic Opportunities |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
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