Correlation Between Crypto and AgileThought

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

By analyzing existing cross correlation between Crypto Co and AgileThought, you can compare the effects of market volatilities on Crypto and AgileThought 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 Crypto with a short position of AgileThought. Check out your portfolio center. Please also check ongoing floating volatility patterns of Crypto and AgileThought.

Diversification Opportunities for Crypto and AgileThought

0.14

Correlation Coefficient

Crypto  AgileThought

Average diversification

The 3 months correlation between Crypto and AgileThought is 0.14. Overlapping area represents the amount of risk that can be diversified away by holding Crypto Co and AgileThought in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AgileThought and Crypto 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 Crypto Co are associated (or correlated) with AgileThought. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AgileThought has no effect on the direction of Crypto i.e., Crypto and AgileThought go up and down completely randomly.

Pair Corralation between Crypto and AgileThought

If you would invest  7.00  in AgileThought on September 4, 2024 and sell it today you would earn a total of  0.00  from holding AgileThought or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	1.56%
Values	Daily Returns

Crypto Co  vs.  AgileThought

Crypto

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Crypto Co has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's fundamental indicators remain fairly stable which may send shares a bit higher in January 2025. The latest fuss may also be a sign of long-term up-swing for the venture sophisticated investors.

AgileThought

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days AgileThought has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly stable essential indicators, AgileThought is not utilizing all of its potentials. The latest stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Pair Trading with Crypto and AgileThought

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

The idea behind Crypto Co and AgileThought 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 Commodity Directory module to find actively traded commodities issued by global exchanges.