This module allows you to analyze existing cross correlation between HitBTC DigitalNote USD and HitBTC DigiByte USD. You can compare the effects of market volatilities on HitBTC DigitalNote and HitBTC DigiByte 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 DigitalNote with a short position of HitBTC DigiByte. See also your portfolio center
. Please also check ongoing floating volatility patterns of HitBTC DigitalNote
and HitBTC DigiByte
HitBTC DigitalNote USD vs. HitBTC DigiByte USD
Assuming 30 trading days horizon, HitBTC DigitalNote USD is expected to under-perform the HitBTC DigiByte. In addition to that, HitBTC DigitalNote is 1.22 times more volatile than HitBTC DigiByte USD. It trades about -0.03 of its total potential returns per unit of risk. HitBTC DigiByte USD is currently generating about 0.07 per unit of volatility. If you would invest 3.41 in HitBTC DigiByte USD on March 26, 2018 and sell it today you would earn a total of 0.52 from holding HitBTC DigiByte USD or generate 15.16% return on investment over 30 days.
Pair Corralation between HitBTC DigitalNote and HitBTC DigiByte
|Time Period||2 Months [change]|
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding HitBTC DigitalNote USD and HitBTC DigiByte USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on HitBTC DigiByte USD and HitBTC DigitalNote 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 DigitalNote USD are associated (or correlated) with HitBTC DigiByte. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HitBTC DigiByte USD has no effect on the direction of HitBTC DigitalNote i.e. HitBTC DigitalNote and HitBTC DigiByte go up and down completely randomly.
Over the last 30 days HitBTC DigitalNote 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 HitBTC DigiByte USD are ranked lower than 4 (%) of all global equities and portfolios over the last 30 days.