Correlation Between WisdomTree India and ProShares Ultra
Can any of the company-specific risk be diversified away by investing in both WisdomTree India and ProShares Ultra 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 WisdomTree India and ProShares Ultra into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between WisdomTree India Hedged and ProShares Ultra Consumer, you can compare the effects of market volatilities on WisdomTree India and ProShares Ultra 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 WisdomTree India with a short position of ProShares Ultra. Check out your portfolio center. Please also check ongoing floating volatility patterns of WisdomTree India and ProShares Ultra.
Diversification Opportunities for WisdomTree India and ProShares Ultra
-0.58 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between WisdomTree and ProShares is -0.58. Overlapping area represents the amount of risk that can be diversified away by holding WisdomTree India Hedged and ProShares Ultra Consumer in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ProShares Ultra Consumer and WisdomTree India 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 WisdomTree India Hedged are associated (or correlated) with ProShares Ultra. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ProShares Ultra Consumer has no effect on the direction of WisdomTree India i.e., WisdomTree India and ProShares Ultra go up and down completely randomly.
Pair Corralation between WisdomTree India and ProShares Ultra
Given the investment horizon of 90 days WisdomTree India Hedged is expected to under-perform the ProShares Ultra. But the etf apears to be less risky and, when comparing its historical volatility, WisdomTree India Hedged is 2.61 times less risky than ProShares Ultra. The etf trades about -0.05 of its potential returns per unit of risk. The ProShares Ultra Consumer is currently generating about 0.22 of returns per unit of risk over similar time horizon. If you would invest 1,579 in ProShares Ultra Consumer on November 3, 2025 and sell it today you would earn a total of 338.00 from holding ProShares Ultra Consumer or generate 21.41% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
WisdomTree India Hedged vs. ProShares Ultra Consumer
Performance |
| Timeline |
| WisdomTree India Hedged |
| ProShares Ultra Consumer |
WisdomTree India and ProShares Ultra Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with WisdomTree India and ProShares Ultra
The main advantage of trading using opposite WisdomTree India and ProShares Ultra positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if WisdomTree India position performs unexpectedly, ProShares Ultra 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 ProShares Ultra will offset losses from the drop in ProShares Ultra's long position.| WisdomTree India vs. Nuveen Sustainable Core | WisdomTree India vs. MicroSectors Solactive FANG | WisdomTree India vs. iShares ESG Aware | WisdomTree India vs. Invesco ESG NASDAQ |
| ProShares Ultra vs. ProShares Ultra MSCI | ProShares Ultra vs. ProShares Big Data | ProShares Ultra vs. Macquarie ETF Trust | ProShares Ultra vs. iShares ESG MSCI |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
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