Correlation Between Jones Soda and JPMorgan Chase
Can any of the company-specific risk be diversified away by investing in both Jones Soda and JPMorgan Chase 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 Jones Soda and JPMorgan Chase into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Jones Soda Co and JPMorgan Chase Co, you can compare the effects of market volatilities on Jones Soda and JPMorgan Chase 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 Jones Soda with a short position of JPMorgan Chase. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jones Soda and JPMorgan Chase.
Diversification Opportunities for Jones Soda and JPMorgan Chase
0.15 | Correlation Coefficient |
Average diversification
The 3 months correlation between Jones and JPMorgan is 0.15. Overlapping area represents the amount of risk that can be diversified away by holding Jones Soda Co and JPMorgan Chase Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on JPMorgan Chase and Jones Soda 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 Jones Soda Co are associated (or correlated) with JPMorgan Chase. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of JPMorgan Chase has no effect on the direction of Jones Soda i.e., Jones Soda and JPMorgan Chase go up and down completely randomly.
Pair Corralation between Jones Soda and JPMorgan Chase
Given the investment horizon of 90 days Jones Soda is expected to generate 1.03 times less return on investment than JPMorgan Chase. In addition to that, Jones Soda is 3.92 times more volatile than JPMorgan Chase Co. It trades about 0.02 of its total potential returns per unit of risk. JPMorgan Chase Co is currently generating about 0.09 per unit of volatility. If you would invest 29,296 in JPMorgan Chase Co on September 5, 2025 and sell it today you would earn a total of 1,917 from holding JPMorgan Chase Co or generate 6.54% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Jones Soda Co vs. JPMorgan Chase Co
Performance |
| Timeline |
| Jones Soda |
| JPMorgan Chase |
Jones Soda and JPMorgan Chase Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Jones Soda and JPMorgan Chase
The main advantage of trading using opposite Jones Soda and JPMorgan Chase positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jones Soda position performs unexpectedly, JPMorgan Chase 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 JPMorgan Chase will offset losses from the drop in JPMorgan Chase's long position.| Jones Soda vs. Neuberger Berman Small | Jones Soda vs. Sumitomo Corp ADR | Jones Soda vs. Beazer Homes USA | Jones Soda vs. Vanguard Market Neutral |
| JPMorgan Chase vs. Jones Soda Co | JPMorgan Chase vs. Country Wide Insurance | JPMorgan Chase vs. Curtiss Motorcycles | JPMorgan Chase vs. The Peoples Insurance |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Other Complementary Tools
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk |