Correlation Between Pfizer and WisdomTree Issuer
Can any of the company-specific risk be diversified away by investing in both Pfizer and WisdomTree Issuer 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 Pfizer and WisdomTree Issuer into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Pfizer Inc and WisdomTree Issuer ICAV, you can compare the effects of market volatilities on Pfizer and WisdomTree Issuer 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 Pfizer with a short position of WisdomTree Issuer. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pfizer and WisdomTree Issuer.
Diversification Opportunities for Pfizer and WisdomTree Issuer
0.73 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Pfizer and WisdomTree is 0.73. Overlapping area represents the amount of risk that can be diversified away by holding Pfizer Inc and WisdomTree Issuer ICAV in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on WisdomTree Issuer ICAV and Pfizer 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 Pfizer Inc are associated (or correlated) with WisdomTree Issuer. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of WisdomTree Issuer ICAV has no effect on the direction of Pfizer i.e., Pfizer and WisdomTree Issuer go up and down completely randomly.
Pair Corralation between Pfizer and WisdomTree Issuer
Considering the 90-day investment horizon Pfizer Inc is expected to generate 1.74 times more return on investment than WisdomTree Issuer. However, Pfizer is 1.74 times more volatile than WisdomTree Issuer ICAV. It trades about 0.14 of its potential returns per unit of risk. WisdomTree Issuer ICAV is currently generating about 0.13 per unit of risk. If you would invest 2,399 in Pfizer Inc on November 9, 2025 and sell it today you would earn a total of 323.00 from holding Pfizer Inc or generate 13.46% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Pfizer Inc vs. WisdomTree Issuer ICAV
Performance |
| Timeline |
| Pfizer Inc |
| WisdomTree Issuer ICAV |
Pfizer and WisdomTree Issuer Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pfizer and WisdomTree Issuer
The main advantage of trading using opposite Pfizer and WisdomTree Issuer positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pfizer position performs unexpectedly, WisdomTree Issuer 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 WisdomTree Issuer will offset losses from the drop in WisdomTree Issuer's long position.| Pfizer vs. Cencora | Pfizer vs. Regeneron Pharmaceuticals | Pfizer vs. IDEXX Laboratories | Pfizer vs. Haleon plc |
| WisdomTree Issuer vs. Wisdomtree Digital Trust | WisdomTree Issuer vs. WisdomTree Corporate Bond | WisdomTree Issuer vs. WisdomTree High Yield | WisdomTree Issuer vs. WisdomTree Issuer ICAV |
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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios |