This module allows you to analyze existing cross correlation between BitTrex Ethereum USD and Poloniex Ethereum USD. You can compare the effects of market volatilities on BitTrex Ethereum and Poloniex 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 BitTrex Ethereum with a short position of Poloniex Ethereum. See also your portfolio center
. Please also check ongoing floating volatility patterns of BitTrex Ethereum
and Poloniex Ethereum
BitTrex Ethereum USD vs Poloniex Ethereum USD
Assuming 30 trading days horizon, BitTrex Ethereum USD is expected to generate 1.02 times more return on investment than Poloniex Ethereum. However, BitTrex Ethereum is 1.02 times more volatile than Poloniex Ethereum USD. It trades about 0.15 of its potential returns per unit of risk. Poloniex Ethereum USD is currently generating about 0.14 per unit of risk. If you would invest 79,367 in BitTrex Ethereum USD on December 20, 2017 and sell it today you would earn a total of 25,633 from holding BitTrex Ethereum USD or generate 32.3% 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 BitTrex Ethereum USD and Poloniex Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Poloniex Ethereum USD and BitTrex 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 BitTrex Ethereum USD are associated (or correlated) with Poloniex Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Poloniex Ethereum USD has no effect on the direction of BitTrex Ethereum i.e. BitTrex Ethereum and Poloniex Ethereum go up and down completely randomly.
Compared to the overall equity markets, risk-adjusted returns on investments in BitTrex Ethereum USD are ranked lower than 10 (%) of all global equities and portfolios over the last 30 days.
Compared to the overall equity markets, risk-adjusted returns on investments in Poloniex Ethereum USD are ranked lower than 8 (%) of all global equities and portfolios over the last 30 days.