Pair Correlation Between BitBay Ethereum and Quoine Ethereum

This module allows you to analyze existing cross correlation between BitBay Ethereum USD and Quoine Ethereum USD. You can compare the effects of market volatilities on BitBay Ethereum and Quoine 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 Quoine Ethereum. See also your portfolio center. Please also check ongoing floating volatility patterns of BitBay Ethereum and Quoine Ethereum.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 BitBay Ethereum USD  vs   Quoine Ethereum USD

BitBay

Ethereum on BitBay in USD
 640 
141  28.26%
Market Cap: 1.8 M
(9.83)

Quoine

Ethereum on Quoine in USD
 649.83 
124.83  23.78%
Market Cap: 21 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, BitBay Ethereum USD is expected to generate 2.05 times more return on investment than Quoine Ethereum. However, BitBay Ethereum is 2.05 times more volatile than Quoine Ethereum USD. It trades about 0.24 of its potential returns per unit of risk. Quoine Ethereum USD is currently generating about 0.46 per unit of risk. If you would invest  29,345  in BitBay Ethereum USD on November 12, 2017 and sell it today you would earn a total of  25,885  from holding BitBay Ethereum USD or generate 88.21% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between BitBay Ethereum and Quoine Ethereum
0.62

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns

Diversification

Poor diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

BitBay Ethereum USD

  
15 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Ethereum USD are ranked lower than 15 (%) of all global equities and portfolios over the last 30 days.

Quoine Ethereum USD

  
30 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Quoine Ethereum USD are ranked lower than 30 (%) of all global equities and portfolios over the last 30 days.