Correlation Between SSGA Active and ProShares Inflation
Can any of the company-specific risk be diversified away by investing in both SSGA Active and ProShares Inflation 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 SSGA Active and ProShares Inflation into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SSGA Active Trust and ProShares Inflation Expectations, you can compare the effects of market volatilities on SSGA Active and ProShares Inflation 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 SSGA Active with a short position of ProShares Inflation. Check out your portfolio center. Please also check ongoing floating volatility patterns of SSGA Active and ProShares Inflation.
Diversification Opportunities for SSGA Active and ProShares Inflation
0.03 | Correlation Coefficient |
Significant diversification
The 3 months correlation between SSGA and ProShares is 0.03. Overlapping area represents the amount of risk that can be diversified away by holding SSGA Active Trust and ProShares Inflation Expectatio in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ProShares Inflation and SSGA Active 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 SSGA Active Trust are associated (or correlated) with ProShares Inflation. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ProShares Inflation has no effect on the direction of SSGA Active i.e., SSGA Active and ProShares Inflation go up and down completely randomly.
Pair Corralation between SSGA Active and ProShares Inflation
Given the investment horizon of 90 days SSGA Active Trust is expected to generate 0.51 times more return on investment than ProShares Inflation. However, SSGA Active Trust is 1.97 times less risky than ProShares Inflation. It trades about 0.32 of its potential returns per unit of risk. ProShares Inflation Expectations is currently generating about 0.01 per unit of risk. If you would invest 2,535 in SSGA Active Trust on June 11, 2025 and sell it today you would earn a total of 95.00 from holding SSGA Active Trust or generate 3.75% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 98.39% |
| Values | Daily Returns |
SSGA Active Trust vs. ProShares Inflation Expectatio
Performance |
| Timeline |
| SSGA Active Trust |
| ProShares Inflation |
SSGA Active and ProShares Inflation Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SSGA Active and ProShares Inflation
The main advantage of trading using opposite SSGA Active and ProShares Inflation positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SSGA Active position performs unexpectedly, ProShares Inflation 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 Inflation will offset losses from the drop in ProShares Inflation's long position.| SSGA Active vs. SPDR Bloomberg Barclays | SSGA Active vs. SPDR SSGA Fixed | SSGA Active vs. SPDR Portfolio Corporate | SSGA Active vs. SPDR DoubleLine Short |
| ProShares Inflation vs. SPDR SSgA Multi Asset | ProShares Inflation vs. ProShares Hedge Replication | ProShares Inflation vs. ProShares Merger ETF | ProShares Inflation vs. ProShares Ultra High |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device |