Correlation Between FlexShopper and IMedia Brands
Can any of the company-specific risk be diversified away by investing in both FlexShopper and IMedia 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 FlexShopper and IMedia Brands into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between FlexShopper and IMedia Brands, you can compare the effects of market volatilities on FlexShopper and IMedia 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 FlexShopper with a short position of IMedia Brands. Check out your portfolio center. Please also check ongoing floating volatility patterns of FlexShopper and IMedia Brands.
Diversification Opportunities for FlexShopper and IMedia Brands
-0.77 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between FlexShopper and IMedia is -0.77. Overlapping area represents the amount of risk that can be diversified away by holding FlexShopper and IMedia Brands in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on IMedia Brands and FlexShopper 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 FlexShopper are associated (or correlated) with IMedia Brands. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of IMedia Brands has no effect on the direction of FlexShopper i.e., FlexShopper and IMedia Brands go up and down completely randomly.
Pair Corralation between FlexShopper and IMedia Brands
If you would invest 138.00 in FlexShopper on August 31, 2024 and sell it today you would earn a total of 60.00 from holding FlexShopper or generate 43.48% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 4.35% |
| Values | Daily Returns |
FlexShopper vs. IMedia Brands
Performance |
| Timeline |
| FlexShopper |
| IMedia Brands |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
FlexShopper and IMedia Brands Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with FlexShopper and IMedia Brands
The main advantage of trading using opposite FlexShopper and IMedia Brands positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if FlexShopper position performs unexpectedly, IMedia 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 IMedia Brands will offset losses from the drop in IMedia Brands' long position.| FlexShopper vs. AZN Capital Corp | FlexShopper vs. Fortress Transportation and | FlexShopper vs. Ashtead Gro | FlexShopper vs. Alta Equipment Group |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital |