Correlation Between ProShares Trust and Upstream Bio,

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

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

Diversification Opportunities for ProShares Trust and Upstream Bio,

-0.07

Correlation Coefficient

ProShares Trust  Upstream Bio,

Good diversification

The 3 months correlation between ProShares and Upstream is -0.07. Overlapping area represents the amount of risk that can be diversified away by holding ProShares Trust and Upstream Bio, in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Upstream Bio, and ProShares Trust 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 ProShares Trust are associated (or correlated) with Upstream Bio,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Upstream Bio, has no effect on the direction of ProShares Trust i.e., ProShares Trust and Upstream Bio, go up and down completely randomly.

Pair Corralation between ProShares Trust and Upstream Bio,

Given the investment horizon of 90 days ProShares Trust is expected to generate 0.51 times more return on investment than Upstream Bio,. However, ProShares Trust is 1.96 times less risky than Upstream Bio,. It trades about -0.05 of its potential returns per unit of risk. Upstream Bio, is currently generating about -0.14 per unit of risk. If you would invest  8,982  in ProShares Trust on October 4, 2024 and sell it today you would lose (400.00) from holding ProShares Trust or give up 4.45% of portfolio value over 90 days.

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

ProShares Trust  vs.  Upstream Bio,

ProShares Trust

Risk-Adjusted Performance

14 of 100

Good

Compared to the overall equity markets, risk-adjusted returns on investments in ProShares Trust are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. Despite fairly weak basic indicators, ProShares Trust demonstrated solid returns over the last few months and may actually be approaching a breakup point.

Upstream Bio,

Risk-Adjusted Performance

2 of 100

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Upstream Bio, are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite somewhat weak basic indicators, Upstream Bio, sustained solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with ProShares Trust and Upstream Bio,

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

The idea behind ProShares Trust and Upstream Bio, 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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.