Correlation Between Exail Technologies and Pixium Vision

Can any of the company-specific risk be diversified away by investing in both Exail Technologies and Pixium Vision 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 Exail Technologies and Pixium Vision into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Exail Technologies SA and Pixium Vision SA, you can compare the effects of market volatilities on Exail Technologies and Pixium Vision 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 Exail Technologies with a short position of Pixium Vision. Check out your portfolio center. Please also check ongoing floating volatility patterns of Exail Technologies and Pixium Vision.

Diversification Opportunities for Exail Technologies and Pixium Vision

0.0

Correlation Coefficient

Exail Technologies  Pixium Vision

Pay attention - limited upside

The 3 months correlation between Exail and Pixium is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Exail Technologies SA and Pixium Vision SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Pixium Vision SA and Exail Technologies 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 Exail Technologies SA are associated (or correlated) with Pixium Vision. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Pixium Vision SA has no effect on the direction of Exail Technologies i.e., Exail Technologies and Pixium Vision go up and down completely randomly.

Pair Corralation between Exail Technologies and Pixium Vision

If you would invest  1,750  in Exail Technologies SA on September 29, 2024 and sell it today you would lose (18.00) from holding Exail Technologies SA or give up 1.03% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Exail Technologies SA  vs.  Pixium Vision SA

Exail Technologies

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Exail Technologies SA has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, Exail Technologies is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pixium Vision SA

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Pixium Vision SA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong forward indicators, Pixium Vision is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Exail Technologies and Pixium Vision

The main advantage of trading using opposite Exail Technologies and Pixium Vision positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Exail Technologies position performs unexpectedly, Pixium Vision 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 Pixium Vision will offset losses from the drop in Pixium Vision's long position.

The idea behind Exail Technologies SA and Pixium Vision SA pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.