Correlation Between Triller and Roadzen

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

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

Diversification Opportunities for Triller and Roadzen

0.39

Correlation Coefficient

Triller  Roadzen

Weak diversification

The 3 months correlation between Triller and Roadzen is 0.39. Overlapping area represents the amount of risk that can be diversified away by holding Triller Group and Roadzen in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Roadzen and Triller 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 Triller Group are associated (or correlated) with Roadzen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Roadzen has no effect on the direction of Triller i.e., Triller and Roadzen go up and down completely randomly.

Pair Corralation between Triller and Roadzen

Assuming the 90 days horizon Triller Group is expected to generate 1.71 times more return on investment than Roadzen. However, Triller is 1.71 times more volatile than Roadzen. It trades about 0.02 of its potential returns per unit of risk. Roadzen is currently generating about -0.12 per unit of risk. If you would invest  15.00  in Triller Group on December 22, 2024 and sell it today you would lose (5.00) from holding Triller Group or give up 33.33% of portfolio value over 90 days.

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

Triller Group  vs.  Roadzen

Triller Group

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Triller Group are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. In spite of fairly weak basic indicators, Triller showed solid returns over the last few months and may actually be approaching a breakup point.

Roadzen

Risk-Adjusted Performance

Very Weak

Over the last 90 days Roadzen 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 basic indicators remain very healthy which may send shares a bit higher in April 2025. The recent disarray may also be a sign of long period up-swing for the firm investors.

Pair Trading with Triller and Roadzen

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

The idea behind Triller Group and Roadzen 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.

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 Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.