Correlation Between Pfg Br and Pfg Global

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

Diversification Opportunities for Pfg Br and Pfg Global

1.0
  Correlation Coefficient

No risk reduction

The 3 months correlation between Pfg and Pfg is 1.0. Overlapping area represents the amount of risk that can be diversified away by holding Pfg Br Equity and Pfg Global Equity in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Pfg Global Equity and Pfg Br 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 Pfg Br Equity are associated (or correlated) with Pfg Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Pfg Global Equity has no effect on the direction of Pfg Br i.e., Pfg Br and Pfg Global go up and down completely randomly.

Pair Corralation between Pfg Br and Pfg Global

Assuming the 90 days horizon Pfg Br Equity is expected to generate 1.0 times more return on investment than Pfg Global. However, Pfg Br is 1.0 times more volatile than Pfg Global Equity. It trades about 0.16 of its potential returns per unit of risk. Pfg Global Equity is currently generating about 0.16 per unit of risk. If you would invest  1,597  in Pfg Br Equity on July 27, 2025 and sell it today you would earn a total of  107.00  from holding Pfg Br Equity or generate 6.7% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthVery Strong
Accuracy98.46%
ValuesDaily Returns

Pfg Br Equity  vs.  Pfg Global Equity

 Performance 
       Timeline  
Pfg Br Equity 

Risk-Adjusted Performance

Good

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Pfg Br Equity are ranked lower than 12 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak basic indicators, Pfg Br may actually be approaching a critical reversion point that can send shares even higher in November 2025.
Pfg Global Equity 

Risk-Adjusted Performance

Good

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Pfg Global Equity are ranked lower than 12 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak technical and fundamental indicators, Pfg Global may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Pfg Br and Pfg Global Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Pfg Br and Pfg Global

The main advantage of trading using opposite Pfg Br and Pfg Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pfg Br position performs unexpectedly, Pfg Global 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 Pfg Global will offset losses from the drop in Pfg Global's long position.
The idea behind Pfg Br Equity and Pfg Global Equity 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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..

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