Correlation Between Freedom Holding and Triller

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

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

Diversification Opportunities for Freedom Holding and Triller

-0.72

Correlation Coefficient

Freedom Holding  Triller

Pay attention - limited upside

The 3 months correlation between Freedom and Triller is -0.72. Overlapping area represents the amount of risk that can be diversified away by holding Freedom Holding Corp and Triller Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Triller Group and Freedom Holding 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 Freedom Holding Corp are associated (or correlated) with Triller. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Triller Group has no effect on the direction of Freedom Holding i.e., Freedom Holding and Triller go up and down completely randomly.

Pair Corralation between Freedom Holding and Triller

Given the investment horizon of 90 days Freedom Holding is expected to generate 3.41 times less return on investment than Triller. But when comparing it to its historical volatility, Freedom Holding Corp is 5.43 times less risky than Triller. It trades about 0.07 of its potential returns per unit of risk. Triller Group is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest  281.00  in Triller Group on October 4, 2024 and sell it today you would lose (24.00) from holding Triller Group or give up 8.54% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Weak
Accuracy	100.0%
Values	Daily Returns

Freedom Holding Corp  vs.  Triller Group

Freedom Holding Corp

Risk-Adjusted Performance

19 of 100

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Freedom Holding Corp are ranked lower than 19 (%) of all global equities and portfolios over the last 90 days. In spite of rather weak technical indicators, Freedom Holding exhibited solid returns over the last few months and may actually be approaching a breakup point.

Triller Group

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Triller Group has generated negative risk-adjusted returns adding no value to investors with long positions. Even with uncertain performance in the last few months, the Stock's essential indicators remain relatively invariable which may send shares a bit higher in February 2025. The latest agitation may also be a sign of long-running up-swing for the enterprise retail investors.

Pair Trading with Freedom Holding and Triller

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

The idea behind Freedom Holding Corp and Triller Group 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..