This module allows you to analyze existing cross correlation between Poloniex Ethereum USD and Bitfinex Ethereum USD. You can compare the effects of market volatilities on Poloniex Ethereum and Bitfinex 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 Poloniex Ethereum with a short position of Bitfinex Ethereum. See also your portfolio center
. Please also check ongoing floating volatility patterns of Poloniex Ethereum
and Bitfinex Ethereum
Poloniex Ethereum USD vs Bitfinex Ethereum USD
Assuming 30 trading days horizon, Poloniex Ethereum is expected to generate 1.01 times less return on investment than Bitfinex Ethereum. In addition to that, Poloniex Ethereum is 1.15 times more volatile than Bitfinex Ethereum USD. It trades about 0.32 of its total potential returns per unit of risk. Bitfinex Ethereum USD is currently generating about 0.37 per unit of volatility. If you would invest 30,441 in Bitfinex Ethereum USD on November 12, 2017 and sell it today you would earn a total of 20,511 from holding Bitfinex Ethereum USD or generate 67.38% 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 Poloniex Ethereum USD and Bitfinex Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Bitfinex Ethereum USD and Poloniex 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 Poloniex Ethereum USD are associated (or correlated) with Bitfinex Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bitfinex Ethereum USD has no effect on the direction of Poloniex Ethereum i.e. Poloniex Ethereum and Bitfinex Ethereum go up and down completely randomly.
Compared to the overall equity markets, risk-adjusted returns on investments in Poloniex Ethereum USD are ranked lower than 21 (%) of all global equities and portfolios over the last 30 days.
Compared to the overall equity markets, risk-adjusted returns on investments in Bitfinex Ethereum USD are ranked lower than 24 (%) of all global equities and portfolios over the last 30 days.