Correlation Between IX Acquisition and Crixus Bh3
Can any of the company-specific risk be diversified away by investing in both IX Acquisition and Crixus Bh3 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 IX Acquisition and Crixus Bh3 into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between IX Acquisition Corp and Crixus Bh3 Acquisition, you can compare the effects of market volatilities on IX Acquisition and Crixus Bh3 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 IX Acquisition with a short position of Crixus Bh3. Check out your portfolio center. Please also check ongoing floating volatility patterns of IX Acquisition and Crixus Bh3.
Diversification Opportunities for IX Acquisition and Crixus Bh3
0.37 | Correlation Coefficient |
Weak diversification
The 3 months correlation between IXAQU and Crixus is 0.37. Overlapping area represents the amount of risk that can be diversified away by holding IX Acquisition Corp and Crixus Bh3 Acquisition in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Crixus Bh3 Acquisition and IX Acquisition 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 IX Acquisition Corp are associated (or correlated) with Crixus Bh3. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Crixus Bh3 Acquisition has no effect on the direction of IX Acquisition i.e., IX Acquisition and Crixus Bh3 go up and down completely randomly.
Pair Corralation between IX Acquisition and Crixus Bh3
Assuming the 90 days horizon IX Acquisition Corp is expected to under-perform the Crixus Bh3. But the stock apears to be less risky and, when comparing its historical volatility, IX Acquisition Corp is 1.4 times less risky than Crixus Bh3. The stock trades about -0.04 of its potential returns per unit of risk. The Crixus Bh3 Acquisition is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 1,058 in Crixus Bh3 Acquisition on September 6, 2024 and sell it today you would earn a total of 5.00 from holding Crixus Bh3 Acquisition or generate 0.47% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Very Weak |
Accuracy | 100.0% |
Values | Daily Returns |
IX Acquisition Corp vs. Crixus Bh3 Acquisition
Performance |
Timeline |
IX Acquisition Corp |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Crixus Bh3 Acquisition |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Insignificant
IX Acquisition and Crixus Bh3 Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with IX Acquisition and Crixus Bh3
The main advantage of trading using opposite IX Acquisition and Crixus Bh3 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if IX Acquisition position performs unexpectedly, Crixus Bh3 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 Crixus Bh3 will offset losses from the drop in Crixus Bh3's long position.IX Acquisition vs. Paiute Oil Mining | IX Acquisition vs. Lion One Metals | IX Acquisition vs. NETGEAR | IX Acquisition vs. Grupo Televisa SAB |
Crixus Bh3 vs. LB Foster | Crixus Bh3 vs. National Vision Holdings | Crixus Bh3 vs. Cardinal Health | Crixus Bh3 vs. Marine Products |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
Performance Analysis Check effects of mean-variance optimization against your current asset allocation |