Correlation Between Infobird and Inpixon

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Can any of the company-specific risk be diversified away by investing in both Infobird and Inpixon 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 Infobird and Inpixon into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Infobird Co and Inpixon, you can compare the effects of market volatilities on Infobird and Inpixon 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 Infobird with a short position of Inpixon. Check out your portfolio center. Please also check ongoing floating volatility patterns of Infobird and Inpixon.

Diversification Opportunities for Infobird and Inpixon

-0.47
  Correlation Coefficient

Very good diversification

The 3 months correlation between Infobird and Inpixon is -0.47. Overlapping area represents the amount of risk that can be diversified away by holding Infobird Co and Inpixon in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Inpixon and Infobird 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 Infobird Co are associated (or correlated) with Inpixon. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Inpixon has no effect on the direction of Infobird i.e., Infobird and Inpixon go up and down completely randomly.

Pair Corralation between Infobird and Inpixon

If you would invest  174.00  in Infobird Co on September 1, 2024 and sell it today you would earn a total of  156.00  from holding Infobird Co or generate 89.66% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthVery Weak
Accuracy1.59%
ValuesDaily Returns

Infobird Co  vs.  Inpixon

 Performance 
       Timeline  
Infobird 

Risk-Adjusted Performance

12 of 100

 
Weak
 
Strong
Good
Compared to the overall equity markets, risk-adjusted returns on investments in Infobird Co are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of rather weak fundamental drivers, Infobird exhibited solid returns over the last few months and may actually be approaching a breakup point.
Inpixon 

Risk-Adjusted Performance

0 of 100

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

Infobird and Inpixon Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Infobird and Inpixon

The main advantage of trading using opposite Infobird and Inpixon positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Infobird position performs unexpectedly, Inpixon 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 Inpixon will offset losses from the drop in Inpixon's long position.
The idea behind Infobird Co and Inpixon 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.
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 Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.

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