Correlation Between BB Liquidating and WiMi Hologram

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

By analyzing existing cross correlation between BB Liquidating and WiMi Hologram Cloud, you can compare the effects of market volatilities on BB Liquidating and WiMi Hologram 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 BB Liquidating with a short position of WiMi Hologram. Check out your portfolio center. Please also check ongoing floating volatility patterns of BB Liquidating and WiMi Hologram.

Diversification Opportunities for BB Liquidating and WiMi Hologram

0.14

Correlation Coefficient

BB Liquidating  WiMi Hologram

Average diversification

The 3 months correlation between BLIAQ and WiMi is 0.14. Overlapping area represents the amount of risk that can be diversified away by holding BB Liquidating and WiMi Hologram Cloud in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on WiMi Hologram Cloud and BB Liquidating 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 BB Liquidating are associated (or correlated) with WiMi Hologram. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of WiMi Hologram Cloud has no effect on the direction of BB Liquidating i.e., BB Liquidating and WiMi Hologram go up and down completely randomly.

Pair Corralation between BB Liquidating and WiMi Hologram

Assuming the 90 days horizon BB Liquidating is expected to generate 47.48 times more return on investment than WiMi Hologram. However, BB Liquidating is 47.48 times more volatile than WiMi Hologram Cloud. It trades about 0.21 of its potential returns per unit of risk. WiMi Hologram Cloud is currently generating about 0.0 per unit of risk. If you would invest  0.95  in BB Liquidating on July 17, 2025 and sell it today you would earn a total of  0.55  from holding BB Liquidating or generate 57.89% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	95.65%
Values	Daily Returns

BB Liquidating  vs.  WiMi Hologram Cloud

BB Liquidating

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in BB Liquidating are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. Even with relatively weak basic indicators, BB Liquidating reported solid returns over the last few months and may actually be approaching a breakup point.

WiMi Hologram Cloud

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in WiMi Hologram Cloud are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite fairly uncertain primary indicators, WiMi Hologram demonstrated solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with BB Liquidating and WiMi Hologram

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

The idea behind BB Liquidating and WiMi Hologram Cloud 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 Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.