Correlation Between Clever Leaves and Belite Bio
Can any of the company-specific risk be diversified away by investing in both Clever Leaves and Belite Bio 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 Clever Leaves and Belite Bio into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Clever Leaves Holdings and Belite Bio ADR, you can compare the effects of market volatilities on Clever Leaves and Belite Bio 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 Clever Leaves with a short position of Belite Bio. Check out your portfolio center. Please also check ongoing floating volatility patterns of Clever Leaves and Belite Bio.
Diversification Opportunities for Clever Leaves and Belite Bio
0.4 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Clever and Belite is 0.4. Overlapping area represents the amount of risk that can be diversified away by holding Clever Leaves Holdings and Belite Bio ADR in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Belite Bio ADR and Clever Leaves 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 Clever Leaves Holdings are associated (or correlated) with Belite Bio. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Belite Bio ADR has no effect on the direction of Clever Leaves i.e., Clever Leaves and Belite Bio go up and down completely randomly.
Pair Corralation between Clever Leaves and Belite Bio
Given the investment horizon of 90 days Clever Leaves Holdings is expected to generate 31.4 times more return on investment than Belite Bio. However, Clever Leaves is 31.4 times more volatile than Belite Bio ADR. It trades about 0.14 of its potential returns per unit of risk. Belite Bio ADR is currently generating about 0.31 per unit of risk. If you would invest 0.03 in Clever Leaves Holdings on September 1, 2025 and sell it today you would earn a total of 2.47 from holding Clever Leaves Holdings or generate 8233.33% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 96.97% |
| Values | Daily Returns |
Clever Leaves Holdings vs. Belite Bio ADR
Performance |
| Timeline |
| Clever Leaves Holdings |
| Belite Bio ADR |
Clever Leaves and Belite Bio Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Clever Leaves and Belite Bio
The main advantage of trading using opposite Clever Leaves and Belite Bio positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Clever Leaves position performs unexpectedly, Belite Bio 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 Belite Bio will offset losses from the drop in Belite Bio's long position.| Clever Leaves vs. Lithium Tech Cp | Clever Leaves vs. Huahui Education Group | Clever Leaves vs. Amkor Technology | Clever Leaves vs. Kid Castle Educational |
| Belite Bio vs. Yuexiu Transport Infrastructure | Belite Bio vs. Silk Road Entertainment | Belite Bio vs. CARsgen Therapeutics Holdings | Belite Bio vs. Broadstone Net Lease |
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.
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