Correlation Between Antelope Enterprise and BELIMO Holding

Can any of the company-specific risk be diversified away by investing in both Antelope Enterprise and BELIMO Holding 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 Antelope Enterprise and BELIMO Holding into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Antelope Enterprise Holdings and BELIMO Holding AG, you can compare the effects of market volatilities on Antelope Enterprise and BELIMO Holding 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 Antelope Enterprise with a short position of BELIMO Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Antelope Enterprise and BELIMO Holding.

Diversification Opportunities for Antelope Enterprise and BELIMO Holding

0.33

Correlation Coefficient

Antelope Enterprise  BELIMO Holding

Weak diversification

The 3 months correlation between Antelope and BELIMO is 0.33. Overlapping area represents the amount of risk that can be diversified away by holding Antelope Enterprise Holdings and BELIMO Holding AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BELIMO Holding AG and Antelope Enterprise 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 Antelope Enterprise Holdings are associated (or correlated) with BELIMO Holding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BELIMO Holding AG has no effect on the direction of Antelope Enterprise i.e., Antelope Enterprise and BELIMO Holding go up and down completely randomly.

Pair Corralation between Antelope Enterprise and BELIMO Holding

Given the investment horizon of 90 days Antelope Enterprise Holdings is expected to under-perform the BELIMO Holding. In addition to that, Antelope Enterprise is 4.58 times more volatile than BELIMO Holding AG. It trades about -0.05 of its total potential returns per unit of risk. BELIMO Holding AG is currently generating about 0.07 per unit of volatility. If you would invest  47,326  in BELIMO Holding AG on October 3, 2024 and sell it today you would earn a total of  20,546  from holding BELIMO Holding AG or generate 43.41% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	72.58%
Values	Daily Returns

Antelope Enterprise Holdings  vs.  BELIMO Holding AG

Antelope Enterprise

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Antelope Enterprise Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's technical indicators remain quite persistent which may send shares a bit higher in February 2025. The latest mess may also be a sign of long-standing up-swing for the company institutional investors.

BELIMO Holding AG

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days BELIMO Holding AG has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, BELIMO Holding is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with Antelope Enterprise and BELIMO Holding

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

The idea behind Antelope Enterprise Holdings and BELIMO Holding AG 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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..