Correlation Between Rolling Optics and Crunchfish

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

By analyzing existing cross correlation between Rolling Optics Holding and Crunchfish AB, you can compare the effects of market volatilities on Rolling Optics and Crunchfish 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 Rolling Optics with a short position of Crunchfish. Check out your portfolio center. Please also check ongoing floating volatility patterns of Rolling Optics and Crunchfish.

Diversification Opportunities for Rolling Optics and Crunchfish

0.0

Correlation Coefficient

Rolling Optics  Crunchfish

Pay attention - limited upside

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

Pair Corralation between Rolling Optics and Crunchfish

If you would invest  95.00  in Crunchfish AB on April 22, 2025 and sell it today you would earn a total of  308.00  from holding Crunchfish AB or generate 324.21% return on investment over 90 days.

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

Rolling Optics Holding  vs.  Crunchfish AB

Rolling Optics Holding

Risk-Adjusted Performance

Very Weak

Over the last 90 days Rolling Optics Holding has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, Rolling Optics is not utilizing all of its potentials. The current stock price uproar, may contribute to short-horizon losses for the private investors.

Crunchfish AB

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Crunchfish AB are ranked lower than 19 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain basic indicators, Crunchfish unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Rolling Optics and Crunchfish

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

The idea behind Rolling Optics Holding and Crunchfish AB 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 Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.