Correlation Between YY and Upexi
Can any of the company-specific risk be diversified away by investing in both YY and Upexi 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 YY and Upexi into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between YY Inc Class and Upexi Inc, you can compare the effects of market volatilities on YY and Upexi 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 YY with a short position of Upexi. Check out your portfolio center. Please also check ongoing floating volatility patterns of YY and Upexi.
Diversification Opportunities for YY and Upexi
Very good diversification
The 3 months correlation between YY and Upexi is -0.42. Overlapping area represents the amount of risk that can be diversified away by holding YY Inc Class and Upexi Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Upexi Inc and YY 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 YY Inc Class are associated (or correlated) with Upexi. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Upexi Inc has no effect on the direction of YY i.e., YY and Upexi go up and down completely randomly.
Pair Corralation between YY and Upexi
Allowing for the 90-day total investment horizon YY Inc Class is expected to generate 0.27 times more return on investment than Upexi. However, YY Inc Class is 3.64 times less risky than Upexi. It trades about 0.2 of its potential returns per unit of risk. Upexi Inc is currently generating about 0.05 per unit of risk. If you would invest 4,100 in YY Inc Class on October 25, 2024 and sell it today you would earn a total of 316.00 from holding YY Inc Class or generate 7.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 94.74% |
| Values | Daily Returns |
YY Inc Class vs. Upexi Inc
Performance |
| Timeline |
| YY Inc Class |
| Upexi Inc |
YY and Upexi Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with YY and Upexi
The main advantage of trading using opposite YY and Upexi positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if YY position performs unexpectedly, Upexi 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 Upexi will offset losses from the drop in Upexi's long position.| YY vs. Weibo Corp | YY vs. DouYu International Holdings | YY vs. Tencent Music Entertainment | YY vs. Autohome |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
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