Correlation Between Fidelity Stock and The Hartford
Can any of the company-specific risk be diversified away by investing in both Fidelity Stock and The Hartford 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 Fidelity Stock and The Hartford into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Fidelity Stock Selector and The Hartford Equity, you can compare the effects of market volatilities on Fidelity Stock and The Hartford 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 Fidelity Stock with a short position of The Hartford. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fidelity Stock and The Hartford.
Diversification Opportunities for Fidelity Stock and The Hartford
0.64 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Fidelity and The is 0.64. Overlapping area represents the amount of risk that can be diversified away by holding Fidelity Stock Selector and The Hartford Equity in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hartford Equity and Fidelity Stock 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 Fidelity Stock Selector are associated (or correlated) with The Hartford. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hartford Equity has no effect on the direction of Fidelity Stock i.e., Fidelity Stock and The Hartford go up and down completely randomly.
Pair Corralation between Fidelity Stock and The Hartford
Assuming the 90 days horizon Fidelity Stock Selector is expected to generate 1.73 times more return on investment than The Hartford. However, Fidelity Stock is 1.73 times more volatile than The Hartford Equity. It trades about 0.11 of its potential returns per unit of risk. The Hartford Equity is currently generating about 0.1 per unit of risk. If you would invest 4,041 in Fidelity Stock Selector on September 6, 2025 and sell it today you would earn a total of 293.00 from holding Fidelity Stock Selector or generate 7.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Fidelity Stock Selector vs. The Hartford Equity
Performance |
| Timeline |
| Fidelity Stock Selector |
| Hartford Equity |
Fidelity Stock and The Hartford Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fidelity Stock and The Hartford
The main advantage of trading using opposite Fidelity Stock and The Hartford positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fidelity Stock position performs unexpectedly, The Hartford 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 The Hartford will offset losses from the drop in The Hartford's long position.| Fidelity Stock vs. Fidelity New Markets | Fidelity Stock vs. Fidelity New Markets | Fidelity Stock vs. Fidelity Advisor Sustainable | Fidelity Stock vs. Fidelity New Markets |
| The Hartford vs. Global Gold Fund | The Hartford vs. Oppenheimer Gold Special | The Hartford vs. Europac Gold Fund | The Hartford vs. International Investors Gold |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
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