This module allows you to analyze existing cross correlation between BitBay Ethereum USD and Gemini Ethereum USD. You can compare the effects of market volatilities on BitBay Ethereum and Gemini Ethereum 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 BitBay Ethereum with a short position of Gemini Ethereum. See also your portfolio center
. Please also check ongoing floating volatility patterns of BitBay Ethereum
and Gemini Ethereum
BitBay Ethereum USD vs Gemini Ethereum USD
Assuming 30 trading days horizon, BitBay Ethereum USD is expected to generate 1.59 times more return on investment than Gemini Ethereum. However, BitBay Ethereum is 1.59 times more volatile than Gemini Ethereum USD. It trades about 0.29 of its potential returns per unit of risk. Gemini Ethereum USD is currently generating about 0.38 per unit of risk. If you would invest 29,345 in BitBay Ethereum USD on November 16, 2017 and sell it today you would earn a total of 40,472 from holding BitBay Ethereum USD or generate 137.92% return on investment over 30 days.
|Time Period||1 Month [change]|
Very poor diversification
Overlapping area represents the amount of risk that can be diversified away by holding BitBay Ethereum USD and Gemini Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Gemini Ethereum USD and BitBay Ethereum 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 BitBay Ethereum USD are associated (or correlated) with Gemini Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Gemini Ethereum USD has no effect on the direction of BitBay Ethereum i.e. BitBay Ethereum and Gemini Ethereum go up and down completely randomly.
Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Ethereum USD are ranked lower than 19 (%) of all global equities and portfolios over the last 30 days.
Compared to the overall equity markets, risk-adjusted returns on investments in Gemini Ethereum USD are ranked lower than 24 (%) of all global equities and portfolios over the last 30 days.