This module allows you to analyze existing cross correlation between Exmo Bitcoin USD and Quoine Bitcoin USD. You can compare the effects of market volatilities on Exmo Bitcoin and Quoine Bitcoin 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 Exmo Bitcoin with a short position of Quoine Bitcoin. See also your portfolio center
. Please also check ongoing floating volatility patterns of Exmo Bitcoin
and Quoine Bitcoin
Exmo Bitcoin USD vs Quoine Bitcoin USD
Assuming 30 trading days horizon, Exmo Bitcoin is expected to generate 1.34 times less return on investment than Quoine Bitcoin. But when comparing it to its historical volatility, Exmo Bitcoin USD is 1.99 times less risky than Quoine Bitcoin. It trades about 0.47 of its potential returns per unit of risk. Quoine Bitcoin USD is currently generating about 0.32 of returns per unit of risk over similar time horizon. If you would invest 593,780 in Quoine Bitcoin USD on November 12, 2017 and sell it today you would earn a total of 1,091,672 from holding Quoine Bitcoin USD or generate 183.85% return on investment over 30 days.
|Time Period||1 Month [change]|
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding Exmo Bitcoin USD and Quoine Bitcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Quoine Bitcoin USD and Exmo Bitcoin 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 Exmo Bitcoin USD are associated (or correlated) with Quoine Bitcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Quoine Bitcoin USD has no effect on the direction of Exmo Bitcoin i.e. Exmo Bitcoin and Quoine Bitcoin go up and down completely randomly.
Over the last 30 days Exmo Bitcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Compared to the overall equity markets, risk-adjusted returns on investments in Quoine Bitcoin USD are ranked lower than 20 (%) of all global equities and portfolios over the last 30 days.