Correlation Between CoreValues Alpha and ProShares Merger
Can any of the company-specific risk be diversified away by investing in both CoreValues Alpha and ProShares Merger 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 CoreValues Alpha and ProShares Merger into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CoreValues Alpha Greater and ProShares Merger ETF, you can compare the effects of market volatilities on CoreValues Alpha and ProShares Merger 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 CoreValues Alpha with a short position of ProShares Merger. Check out your portfolio center. Please also check ongoing floating volatility patterns of CoreValues Alpha and ProShares Merger.
Diversification Opportunities for CoreValues Alpha and ProShares Merger
0.49 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between CoreValues and ProShares is 0.49. Overlapping area represents the amount of risk that can be diversified away by holding CoreValues Alpha Greater and ProShares Merger ETF in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ProShares Merger ETF and CoreValues Alpha 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 CoreValues Alpha Greater are associated (or correlated) with ProShares Merger. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ProShares Merger ETF has no effect on the direction of CoreValues Alpha i.e., CoreValues Alpha and ProShares Merger go up and down completely randomly.
Pair Corralation between CoreValues Alpha and ProShares Merger
Given the investment horizon of 90 days CoreValues Alpha Greater is expected to generate 5.47 times more return on investment than ProShares Merger. However, CoreValues Alpha is 5.47 times more volatile than ProShares Merger ETF. It trades about 0.06 of its potential returns per unit of risk. ProShares Merger ETF is currently generating about 0.29 per unit of risk. If you would invest 2,803 in CoreValues Alpha Greater on July 22, 2025 and sell it today you would earn a total of 164.00 from holding CoreValues Alpha Greater or generate 5.85% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
CoreValues Alpha Greater vs. ProShares Merger ETF
Performance |
| Timeline |
| CoreValues Alpha Greater |
| ProShares Merger ETF |
CoreValues Alpha and ProShares Merger Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CoreValues Alpha and ProShares Merger
The main advantage of trading using opposite CoreValues Alpha and ProShares Merger positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CoreValues Alpha position performs unexpectedly, ProShares Merger 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 Merger will offset losses from the drop in ProShares Merger's long position.| CoreValues Alpha vs. The 2023 ETF | CoreValues Alpha vs. Spinnaker ETF Series | CoreValues Alpha vs. Direxion Daily Pharmaceutical | CoreValues Alpha vs. Innovator ETFs Trust |
| ProShares Merger vs. Fidelity Sustainable Core | ProShares Merger vs. Innovator ETFs Trust | ProShares Merger vs. CoreValues Alpha Greater | ProShares Merger vs. Spinnaker ETF Series |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
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