Correlation Between BitFrontier Capital and EBullion

Can any of the company-specific risk be diversified away by investing in both BitFrontier Capital and EBullion 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 BitFrontier Capital and EBullion into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between BitFrontier Capital Holdings and EBullion, you can compare the effects of market volatilities on BitFrontier Capital and EBullion 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 BitFrontier Capital with a short position of EBullion. Check out your portfolio center. Please also check ongoing floating volatility patterns of BitFrontier Capital and EBullion.

Diversification Opportunities for BitFrontier Capital and EBullion

0.0

Correlation Coefficient

BitFrontier Capital  EBullion

Pay attention - limited upside

The 3 months correlation between BitFrontier and EBullion is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding BitFrontier Capital Holdings and EBullion in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EBullion and BitFrontier Capital 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 BitFrontier Capital Holdings are associated (or correlated) with EBullion. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EBullion has no effect on the direction of BitFrontier Capital i.e., BitFrontier Capital and EBullion go up and down completely randomly.

Pair Corralation between BitFrontier Capital and EBullion

If you would invest  0.06  in BitFrontier Capital Holdings on May 7, 2025 and sell it today you would earn a total of  0.05  from holding BitFrontier Capital Holdings or generate 83.33% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

BitFrontier Capital Holdings  vs.  EBullion

BitFrontier Capital

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in BitFrontier Capital Holdings are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. Despite fairly unsteady fundamental indicators, BitFrontier Capital demonstrated solid returns over the last few months and may actually be approaching a breakup point.

EBullion

Risk-Adjusted Performance

Weakest

Over the last 90 days EBullion has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent primary indicators, EBullion is not utilizing all of its potentials. The current stock price mess, may contribute to short-term losses for the institutional investors.

Pair Trading with BitFrontier Capital and EBullion

The main advantage of trading using opposite BitFrontier Capital and EBullion positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BitFrontier Capital position performs unexpectedly, EBullion 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 EBullion will offset losses from the drop in EBullion's long position.

The idea behind BitFrontier Capital Holdings and EBullion 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.

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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 the Global Correlations module to find global opportunities by holding instruments from different markets.