Correlation Between Amplify Alternative and Themes China

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Can any of the company-specific risk be diversified away by investing in both Amplify Alternative and Themes China 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 Amplify Alternative and Themes China into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Amplify Alternative Harvest and Themes China Generative, you can compare the effects of market volatilities on Amplify Alternative and Themes China 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 Amplify Alternative with a short position of Themes China. Check out your portfolio center. Please also check ongoing floating volatility patterns of Amplify Alternative and Themes China.

Diversification Opportunities for Amplify Alternative and Themes China

0.45
  Correlation Coefficient

Very weak diversification

The 3 months correlation between Amplify and Themes is 0.45. Overlapping area represents the amount of risk that can be diversified away by holding Amplify Alternative Harvest and Themes China Generative in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Themes China Generative and Amplify Alternative 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 Amplify Alternative Harvest are associated (or correlated) with Themes China. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Themes China Generative has no effect on the direction of Amplify Alternative i.e., Amplify Alternative and Themes China go up and down completely randomly.

Pair Corralation between Amplify Alternative and Themes China

Allowing for the 90-day total investment horizon Amplify Alternative Harvest is expected to under-perform the Themes China. In addition to that, Amplify Alternative is 1.98 times more volatile than Themes China Generative. It trades about -0.09 of its total potential returns per unit of risk. Themes China Generative is currently generating about 0.02 per unit of volatility. If you would invest  3,207  in Themes China Generative on August 26, 2025 and sell it today you would earn a total of  25.00  from holding Themes China Generative or generate 0.78% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Amplify Alternative Harvest  vs.  Themes China Generative

 Performance 
       Timeline  
Amplify Alternative 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Amplify Alternative Harvest has generated negative risk-adjusted returns adding no value to investors with long positions. Even with fragile performance in the last few months, the Etf's forward-looking indicators remain relatively steady which may send shares a bit higher in December 2025. The new chaos may also be a sign of medium-term up-swing for the ETF firm stakeholders.
Themes China Generative 

Risk-Adjusted Performance

Weak

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Themes China Generative are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. In spite of very healthy technical and fundamental indicators, Themes China is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Amplify Alternative and Themes China Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Amplify Alternative and Themes China

The main advantage of trading using opposite Amplify Alternative and Themes China positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Amplify Alternative position performs unexpectedly, Themes China 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 Themes China will offset losses from the drop in Themes China's long position.
The idea behind Amplify Alternative Harvest and Themes China Generative pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.

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