Correlation Between Lite Access and Braille Energy

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

By analyzing existing cross correlation between Lite Access Technologies and Braille Energy Systems, you can compare the effects of market volatilities on Lite Access and Braille Energy 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 Lite Access with a short position of Braille Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Lite Access and Braille Energy.

Diversification Opportunities for Lite Access and Braille Energy

0.0

Correlation Coefficient

Lite Access  Braille Energy

Pay attention - limited upside

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

Pair Corralation between Lite Access and Braille Energy

If you would invest  4.50  in Braille Energy Systems on May 7, 2025 and sell it today you would earn a total of  1.50  from holding Braille Energy Systems or generate 33.33% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Lite Access Technologies  vs.  Braille Energy Systems

Lite Access Technologies

Risk-Adjusted Performance

Very Weak

Over the last 90 days Lite Access Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly stable basic indicators, Lite Access is not utilizing all of its potentials. The latest stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Braille Energy Systems

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Braille Energy Systems are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. In spite of fairly abnormal basic indicators, Braille Energy showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Lite Access and Braille Energy

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

The idea behind Lite Access Technologies and Braille Energy Systems 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.

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 the Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.