Correlation Between Cint Group and MOBA Network
Can any of the company-specific risk be diversified away by investing in both Cint Group and MOBA Network 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 Cint Group and MOBA Network into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cint Group AB and MOBA Network publ, you can compare the effects of market volatilities on Cint Group and MOBA Network 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 Cint Group with a short position of MOBA Network. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cint Group and MOBA Network.
Diversification Opportunities for Cint Group and MOBA Network
-0.78 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Cint and MOBA is -0.78. Overlapping area represents the amount of risk that can be diversified away by holding Cint Group AB and MOBA Network publ in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on MOBA Network publ and Cint Group 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 Cint Group AB are associated (or correlated) with MOBA Network. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of MOBA Network publ has no effect on the direction of Cint Group i.e., Cint Group and MOBA Network go up and down completely randomly.
Pair Corralation between Cint Group and MOBA Network
Assuming the 90 days trading horizon Cint Group AB is expected to generate 0.66 times more return on investment than MOBA Network. However, Cint Group AB is 1.52 times less risky than MOBA Network. It trades about 0.09 of its potential returns per unit of risk. MOBA Network publ is currently generating about -0.09 per unit of risk. If you would invest 1,290 in Cint Group AB on September 24, 2024 and sell it today you would earn a total of 51.00 from holding Cint Group AB or generate 3.95% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 100.0% |
Values | Daily Returns |
Cint Group AB vs. MOBA Network publ
Performance |
Timeline |
Cint Group AB |
MOBA Network publ |
Cint Group and MOBA Network Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Cint Group and MOBA Network
The main advantage of trading using opposite Cint Group and MOBA Network positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cint Group position performs unexpectedly, MOBA Network 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 MOBA Network will offset losses from the drop in MOBA Network's long position.Cint Group vs. Sinch AB | Cint Group vs. Stillfront Group AB | Cint Group vs. Truecaller AB | Cint Group vs. BICO Group AB |
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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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
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