Correlation Between WisdomTree and CrossFirst Bankshares

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Can any of the company-specific risk be diversified away by investing in both WisdomTree and CrossFirst Bankshares 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 and CrossFirst Bankshares into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between WisdomTree and CrossFirst Bankshares, you can compare the effects of market volatilities on WisdomTree and CrossFirst Bankshares 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 with a short position of CrossFirst Bankshares. Check out your portfolio center. Please also check ongoing floating volatility patterns of WisdomTree and CrossFirst Bankshares.

Diversification Opportunities for WisdomTree and CrossFirst Bankshares

0.0
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between WisdomTree and CrossFirst is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding WisdomTree and CrossFirst Bankshares in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CrossFirst Bankshares and WisdomTree 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 are associated (or correlated) with CrossFirst Bankshares. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CrossFirst Bankshares has no effect on the direction of WisdomTree i.e., WisdomTree and CrossFirst Bankshares go up and down completely randomly.

Pair Corralation between WisdomTree and CrossFirst Bankshares

If you would invest  1,290  in WisdomTree on October 17, 2025 and sell it today you would earn a total of  103.00  from holding WisdomTree or generate 7.98% return on investment over 90 days.
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy1.64%
ValuesDaily Returns

WisdomTree  vs.  CrossFirst Bankshares

 Performance 
       Timeline  
WisdomTree 

Risk-Adjusted Performance

Mild

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in WisdomTree are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively inconsistent basic indicators, WisdomTree may actually be approaching a critical reversion point that can send shares even higher in February 2026.
CrossFirst Bankshares 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days CrossFirst Bankshares has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong technical and fundamental indicators, CrossFirst Bankshares is not utilizing all of its potentials. The recent stock price disturbance, may contribute to short-term losses for the investors.

WisdomTree and CrossFirst Bankshares Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with WisdomTree and CrossFirst Bankshares

The main advantage of trading using opposite WisdomTree and CrossFirst Bankshares positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if WisdomTree position performs unexpectedly, CrossFirst Bankshares 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 CrossFirst Bankshares will offset losses from the drop in CrossFirst Bankshares' long position.
The idea behind WisdomTree and CrossFirst Bankshares 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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.

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