Correlation Between Bitcoin Depot and BrightView Holdings
Can any of the company-specific risk be diversified away by investing in both Bitcoin Depot and BrightView Holdings 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 Bitcoin Depot and BrightView Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bitcoin Depot and BrightView Holdings, you can compare the effects of market volatilities on Bitcoin Depot and BrightView Holdings 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 Bitcoin Depot with a short position of BrightView Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bitcoin Depot and BrightView Holdings.
Diversification Opportunities for Bitcoin Depot and BrightView Holdings
-0.6 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Bitcoin and BrightView is -0.6. Overlapping area represents the amount of risk that can be diversified away by holding Bitcoin Depot and BrightView Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BrightView Holdings and Bitcoin Depot 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 Bitcoin Depot are associated (or correlated) with BrightView Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BrightView Holdings has no effect on the direction of Bitcoin Depot i.e., Bitcoin Depot and BrightView Holdings go up and down completely randomly.
Pair Corralation between Bitcoin Depot and BrightView Holdings
Considering the 90-day investment horizon Bitcoin Depot is expected to generate 1.92 times more return on investment than BrightView Holdings. However, Bitcoin Depot is 1.92 times more volatile than BrightView Holdings. It trades about 0.14 of its potential returns per unit of risk. BrightView Holdings is currently generating about 0.06 per unit of risk. If you would invest 171.00 in Bitcoin Depot on February 3, 2024 and sell it today you would earn a total of 28.00 from holding Bitcoin Depot or generate 16.37% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Bitcoin Depot vs. BrightView Holdings
Performance |
Timeline |
Bitcoin Depot |
BrightView Holdings |
Bitcoin Depot and BrightView Holdings Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Bitcoin Depot and BrightView Holdings
The main advantage of trading using opposite Bitcoin Depot and BrightView Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bitcoin Depot position performs unexpectedly, BrightView Holdings 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 BrightView Holdings will offset losses from the drop in BrightView Holdings' long position.Bitcoin Depot vs. Broadridge Financial Solutions | Bitcoin Depot vs. BrightView Holdings | Bitcoin Depot vs. First Advantage Corp | Bitcoin Depot vs. Franklin Covey |
BrightView Holdings vs. Network 1 Technologies | BrightView Holdings vs. Civeo Corp | BrightView Holdings vs. Maximus | BrightView Holdings vs. CBIZ Inc |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
Transaction History View history of all your transactions and understand their impact on performance | |
Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Bonds Directory Find actively traded corporate debentures issued by US companies | |
Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
Equity Valuation Check real value of public entities based on technical and fundamental data | |
Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |