Correlation Between Tidal ETF and ProShares Ultra
Can any of the company-specific risk be diversified away by investing in both Tidal ETF 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 Tidal ETF and ProShares Ultra into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Tidal ETF Trust and ProShares Ultra Basic, you can compare the effects of market volatilities on Tidal ETF 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 Tidal ETF with a short position of ProShares Ultra. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tidal ETF and ProShares Ultra.
Diversification Opportunities for Tidal ETF and ProShares Ultra
0.53 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Tidal and ProShares is 0.53. Overlapping area represents the amount of risk that can be diversified away by holding Tidal ETF Trust and ProShares Ultra Basic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ProShares Ultra Basic and Tidal ETF 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 Tidal ETF Trust 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 Basic has no effect on the direction of Tidal ETF i.e., Tidal ETF and ProShares Ultra go up and down completely randomly.
Pair Corralation between Tidal ETF and ProShares Ultra
Given the investment horizon of 90 days Tidal ETF Trust is expected to generate 0.38 times more return on investment than ProShares Ultra. However, Tidal ETF Trust is 2.64 times less risky than ProShares Ultra. It trades about 0.02 of its potential returns per unit of risk. ProShares Ultra Basic is currently generating about -0.04 per unit of risk. If you would invest 2,582 in Tidal ETF Trust on September 2, 2025 and sell it today you would earn a total of 22.89 from holding Tidal ETF Trust or generate 0.89% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 98.46% |
| Values | Daily Returns |
Tidal ETF Trust vs. ProShares Ultra Basic
Performance |
| Timeline |
| Tidal ETF Trust |
| ProShares Ultra Basic |
Tidal ETF and ProShares Ultra Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Tidal ETF and ProShares Ultra
The main advantage of trading using opposite Tidal ETF and ProShares Ultra positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Tidal ETF 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.| Tidal ETF vs. FT Vest Equity | Tidal ETF vs. Zillow Group Class | Tidal ETF vs. Northern Lights | Tidal ETF vs. VanEck Vectors Moodys |
| ProShares Ultra vs. Sprott Active Metals | ProShares Ultra vs. Direxion Daily Gold | ProShares Ultra vs. SPDR SP North | ProShares Ultra vs. Xtrackers RREEF Global |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
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