Correlation Between BitFuFu and Triller

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

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

Diversification Opportunities for BitFuFu and Triller

-0.56

Correlation Coefficient

BitFuFu  Triller

Excellent diversification

The 3 months correlation between BitFuFu and Triller is -0.56. Overlapping area represents the amount of risk that can be diversified away by holding BitFuFu Class A and Triller Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Triller Group and BitFuFu 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 BitFuFu Class A 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 BitFuFu i.e., BitFuFu and Triller go up and down completely randomly.

Pair Corralation between BitFuFu and Triller

Given the investment horizon of 90 days BitFuFu Class A is expected to generate 0.91 times more return on investment than Triller. However, BitFuFu Class A is 1.09 times less risky than Triller. It trades about 0.04 of its potential returns per unit of risk. Triller Group is currently generating about -0.22 per unit of risk. If you would invest  525.00  in BitFuFu Class A on October 4, 2024 and sell it today you would earn a total of  11.00  from holding BitFuFu Class A or generate 2.1% return on investment over 90 days.

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

BitFuFu Class A  vs.  Triller Group

BitFuFu Class A

Risk-Adjusted Performance

6 of 100

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in BitFuFu Class A are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain technical and fundamental indicators, BitFuFu unveiled 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 BitFuFu and Triller

The main advantage of trading using opposite BitFuFu and Triller positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BitFuFu 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 BitFuFu Class A 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 Stocks Directory module to find actively traded stocks across global markets.