Correlation Between Boardwalktech Software and Acceleware

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

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

Diversification Opportunities for Boardwalktech Software and Acceleware

0.57

Correlation Coefficient

Boardwalktech Software  Acceleware

Very weak diversification

The 3 months correlation between Boardwalktech and Acceleware is 0.57. Overlapping area represents the amount of risk that can be diversified away by holding Boardwalktech Software Corp and Acceleware in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Acceleware and Boardwalktech Software 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 Boardwalktech Software Corp are associated (or correlated) with Acceleware. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Acceleware has no effect on the direction of Boardwalktech Software i.e., Boardwalktech Software and Acceleware go up and down completely randomly.

Pair Corralation between Boardwalktech Software and Acceleware

Assuming the 90 days horizon Boardwalktech Software Corp is expected to generate 0.47 times more return on investment than Acceleware. However, Boardwalktech Software Corp is 2.12 times less risky than Acceleware. It trades about -0.16 of its potential returns per unit of risk. Acceleware is currently generating about -0.16 per unit of risk. If you would invest  8.00  in Boardwalktech Software Corp on July 21, 2025 and sell it today you would lose (4.20) from holding Boardwalktech Software Corp or give up 52.5% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	98.48%
Values	Daily Returns

Boardwalktech Software Corp  vs.  Acceleware

Boardwalktech Software

Risk-Adjusted Performance

Weakest

Over the last 90 days Boardwalktech Software Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Stock's forward-looking signals remain nearly stable which may send shares a bit higher in November 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Acceleware

Risk-Adjusted Performance

Weakest

Over the last 90 days Acceleware has generated negative risk-adjusted returns adding no value to investors with long positions. Despite conflicting performance in the last few months, the Stock's basic indicators remain nearly stable which may send shares a bit higher in November 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Boardwalktech Software and Acceleware

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

The idea behind Boardwalktech Software Corp and Acceleware 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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.