Correlation Between Fidelity Stock and Mid Cap
Can any of the company-specific risk be diversified away by investing in both Fidelity Stock and Mid Cap 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 Mid Cap 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 Mid Cap Growth, you can compare the effects of market volatilities on Fidelity Stock and Mid Cap 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 Mid Cap. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fidelity Stock and Mid Cap.
Diversification Opportunities for Fidelity Stock and Mid Cap
0.69 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Fidelity and Mid is 0.69. Overlapping area represents the amount of risk that can be diversified away by holding Fidelity Stock Selector and Mid Cap Growth in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mid Cap Growth 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 Mid Cap. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mid Cap Growth has no effect on the direction of Fidelity Stock i.e., Fidelity Stock and Mid Cap go up and down completely randomly.
Pair Corralation between Fidelity Stock and Mid Cap
Assuming the 90 days horizon Fidelity Stock Selector is expected to generate 0.68 times more return on investment than Mid Cap. However, Fidelity Stock Selector is 1.48 times less risky than Mid Cap. It trades about 0.11 of its potential returns per unit of risk. Mid Cap Growth is currently generating about 0.04 per unit of risk. If you would invest 2,881 in Fidelity Stock Selector on July 27, 2025 and sell it today you would earn a total of 126.00 from holding Fidelity Stock Selector or generate 4.37% 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. Mid Cap Growth
Performance |
| Timeline |
| Fidelity Stock Selector |
| Mid Cap Growth |
Fidelity Stock and Mid Cap Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fidelity Stock and Mid Cap
The main advantage of trading using opposite Fidelity Stock and Mid Cap positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fidelity Stock position performs unexpectedly, Mid Cap 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 Mid Cap will offset losses from the drop in Mid Cap's long position.| Fidelity Stock vs. Fidelity Advisor Value | Fidelity Stock vs. Tcm Small Cap | Fidelity Stock vs. Mid Cap Growth | Fidelity Stock vs. T Rowe Price |
| Mid Cap vs. Goldman Sachs Smallmid | Mid Cap vs. Dreyfus Midcap Index | Mid Cap vs. Fidelity Stock Selector | Mid Cap vs. T Rowe Price |
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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |