Correlation Between Veea and Veea
Can any of the company-specific risk be diversified away by investing in both Veea and Veea 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 Veea and Veea into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Veea Inc and Veea Inc, you can compare the effects of market volatilities on Veea and Veea 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 Veea with a short position of Veea. Check out your portfolio center. Please also check ongoing floating volatility patterns of Veea and Veea.
Diversification Opportunities for Veea and Veea
Excellent diversification
The 3 months correlation between Veea and Veea is -0.56. Overlapping area represents the amount of risk that can be diversified away by holding Veea Inc and Veea Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Veea Inc and Veea 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 Veea Inc are associated (or correlated) with Veea. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Veea Inc has no effect on the direction of Veea i.e., Veea and Veea go up and down completely randomly.
Pair Corralation between Veea and Veea
Given the investment horizon of 90 days Veea Inc is expected to under-perform the Veea. But the stock apears to be less risky and, when comparing its historical volatility, Veea Inc is 1.38 times less risky than Veea. The stock trades about -0.02 of its potential returns per unit of risk. The Veea Inc is currently generating about 0.13 of returns per unit of risk over similar time horizon. If you would invest 5.00 in Veea Inc on September 12, 2024 and sell it today you would earn a total of 9.50 from holding Veea Inc or generate 190.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 28.44% |
| Values | Daily Returns |
Veea Inc vs. Veea Inc
Performance |
| Timeline |
| Veea Inc |
| Veea Inc |
Veea and Veea Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Veea and Veea
The main advantage of trading using opposite Veea and Veea positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Veea position performs unexpectedly, Veea 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 Veea will offset losses from the drop in Veea's long position.| Veea vs. Bank of New | Veea vs. Revolve Group LLC | Veea vs. Cedar Realty Trust | Veea vs. Lululemon Athletica |
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 Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
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