Correlation Between CoreCivic and FitLife Brands,

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

By analyzing existing cross correlation between CoreCivic 475 percent and FitLife Brands, Common, you can compare the effects of market volatilities on CoreCivic and FitLife Brands, 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 CoreCivic with a short position of FitLife Brands,. Check out your portfolio center. Please also check ongoing floating volatility patterns of CoreCivic and FitLife Brands,.

Diversification Opportunities for CoreCivic and FitLife Brands,

0.45

Correlation Coefficient

CoreCivic  FitLife Brands,

Very weak diversification

The 3 months correlation between CoreCivic and FitLife is 0.45. Overlapping area represents the amount of risk that can be diversified away by holding CoreCivic 475 percent and FitLife Brands, Common in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on FitLife Brands, Common and CoreCivic 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 CoreCivic 475 percent are associated (or correlated) with FitLife Brands,. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FitLife Brands, Common has no effect on the direction of CoreCivic i.e., CoreCivic and FitLife Brands, go up and down completely randomly.

Pair Corralation between CoreCivic and FitLife Brands,

Assuming the 90 days trading horizon CoreCivic 475 percent is expected to under-perform the FitLife Brands,. But the bond apears to be less risky and, when comparing its historical volatility, CoreCivic 475 percent is 1.6 times less risky than FitLife Brands,. The bond trades about -0.08 of its potential returns per unit of risk. The FitLife Brands, Common is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest  3,050  in FitLife Brands, Common on October 20, 2024 and sell it today you would earn a total of  197.00  from holding FitLife Brands, Common or generate 6.46% return on investment over 90 days.

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

CoreCivic 475 percent  vs.  FitLife Brands, Common

CoreCivic 475 percent

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days CoreCivic 475 percent has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest weak performance, the Bond's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for CoreCivic 475 percent investors.

FitLife Brands, Common

Risk-Adjusted Performance

4 of 100

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in FitLife Brands, Common are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite nearly unfluctuating essential indicators, FitLife Brands, may actually be approaching a critical reversion point that can send shares even higher in February 2025.

Pair Trading with CoreCivic and FitLife Brands,

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

The idea behind CoreCivic 475 percent and FitLife Brands, Common 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 Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.