This module allows you to analyze existing cross correlation between HitBTC ByteCoin USD and LiveCoin LEOcoin USD. You can compare the effects of market volatilities on HitBTC ByteCoin and LiveCoin LEOcoin 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 HitBTC ByteCoin with a short position of LiveCoin LEOcoin. See also your portfolio center
. Please also check ongoing floating volatility patterns of HitBTC ByteCoin
and LiveCoin LEOcoin
HitBTC ByteCoin USD vs LiveCoin LEOcoin USD
Assuming 30 trading days horizon, HitBTC ByteCoin USD is expected to under-perform the LiveCoin LEOcoin. In addition to that, HitBTC ByteCoin is 1.63 times more volatile than LiveCoin LEOcoin USD. It trades about -0.34 of its total potential returns per unit of risk. LiveCoin LEOcoin USD is currently generating about -0.01 per unit of volatility. If you would invest 26.66 in LiveCoin LEOcoin USD on February 20, 2018 and sell it today you would lose (0.70) from holding LiveCoin LEOcoin USD or give up 2.63% of portfolio value 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 HitBTC ByteCoin USD and LiveCoin LEOcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on LiveCoin LEOcoin USD and HitBTC ByteCoin 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 HitBTC ByteCoin USD are associated (or correlated) with LiveCoin LEOcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LiveCoin LEOcoin USD has no effect on the direction of HitBTC ByteCoin i.e. HitBTC ByteCoin and LiveCoin LEOcoin go up and down completely randomly.
Over the last 30 days HitBTC ByteCoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Over the last 30 days LiveCoin LEOcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.