Pair Correlation Between Cexio Ethereum and Bitstamp Ethereum

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

Cexio

Ethereum on Cexio in USD
 751.25 
27.25  3.76%
Market Cap: 1.8 B
 48.89 

Bitstamp

Ethereum on Bitstamp in USD
 702.36 
28.16  4.18%
Market Cap: 746.3 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Cexio Ethereum is expected to generate 1.03 times less return on investment than Bitstamp Ethereum. But when comparing it to its historical volatility, Cexio Ethereum USD is 1.37 times less risky than Bitstamp Ethereum. It trades about 0.44 of its potential returns per unit of risk. Bitstamp Ethereum USD is currently generating about 0.33 of returns per unit of risk over similar time horizon. If you would invest  32,955  in Bitstamp Ethereum USD on November 15, 2017 and sell it today you would earn a total of  37,281  from holding Bitstamp Ethereum USD or generate 113.13% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Cexio Ethereum and Bitstamp Ethereum
0.91

Parameters

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

Diversification

Almost no diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Cexio Ethereum USD

  
28 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Cexio Ethereum USD are ranked lower than 28 (%) of all global equities and portfolios over the last 30 days.

Bitstamp Ethereum USD

  
21 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bitstamp Ethereum USD are ranked lower than 21 (%) of all global equities and portfolios over the last 30 days.