Correlation Between Vici Properties and Bancor Network

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Vici Properties and Bancor Network at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Vici Properties and Bancor Network into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Vici Properties and Bancor Network Token, you can compare the effects of market volatilities on Vici Properties and Bancor Network 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 Vici Properties with a short position of Bancor Network. Check out your portfolio center. Please also check ongoing floating volatility patterns of Vici Properties and Bancor Network.

Diversification Opportunities for Vici Properties and Bancor Network

0.66
  Correlation Coefficient

Poor diversification

The 3 months correlation between Vici Properties and Bancor is 0.66. Overlapping area represents the amount of risk that can be diversified away by holding Vici Properties and Bancor Network Token in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bancor Network Token and Vici Properties 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 Vici Properties are associated (or correlated) with Bancor Network. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bancor Network Token has no effect on the direction of Vici Properties i.e., Vici Properties and Bancor Network go up and down completely randomly.

Pair Corralation between Vici Properties and Bancor Network

Given the investment horizon of 90 days Vici Properties is expected to generate 0.34 times more return on investment than Bancor Network. However, Vici Properties is 2.96 times less risky than Bancor Network. It trades about 0.07 of its potential returns per unit of risk. Bancor Network Token is currently generating about -0.17 per unit of risk. If you would invest  2,614  in Vici Properties on July 9, 2022 and sell it today you would earn a total of  458.00  from holding Vici Properties or generate 17.52% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthSignificant
Accuracy97.33%
ValuesDaily Returns

Vici Properties  vs.  Bancor Network Token

 Performance (%) 
       Timeline  
Vici Properties 
Vici Properties Performance
0 of 100
Over the last 90 days Vici Properties has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable fundamental indicators, Vici Properties is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Vici Properties Price Channel

Bancor Network Token 
Bancor Performance
1 of 100
Compared to the overall equity markets, risk-adjusted returns on investments in Bancor Network Token are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong basic indicators, Bancor Network is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Bancor Price Channel

Vici Properties and Bancor Network Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Vici Properties and Bancor Network

The main advantage of trading using opposite Vici Properties and Bancor Network positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Vici Properties position performs unexpectedly, Bancor Network can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Bancor Network will offset losses from the drop in Bancor Network's long position.
Vici Properties vs. WP Carey Co
The idea behind Vici Properties and Bancor Network Token pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
Bancor Network vs. XRP
Bancor Network vs. Solana
Bancor Network vs. Polkadot
Bancor Network vs. Chainlink
Check out your portfolio center. Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.

Other Complementary Tools

Portfolio Diagnostics
Use generated alerts and portfolio events aggregator to diagnose current holdings
Go
Pair Correlation
Compare performance and examine fundamental relationship between any two equity instruments
Go
Instant Ratings
Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance
Go
Watchlist Optimization
Optimize watchlists to build efficient portfolio or rebalance existing positions based on mean-variance optimization algorithm
Go
Price Exposure Probability
Analyze equity upside and downside potential for a given time horizon across multiple markets
Go
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Go
Idea Breakdown
Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
Go
CEO Directory
Screen CEOs from public companies around the world
Go
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Go
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Go