Correlation Between Progress Software and Blackbaud
Can any of the company-specific risk be diversified away by investing in both Progress Software and Blackbaud 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 Progress Software and Blackbaud into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Progress Software and Blackbaud, you can compare the effects of market volatilities on Progress Software and Blackbaud 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 Progress Software with a short position of Blackbaud. Check out your portfolio center. Please also check ongoing floating volatility patterns of Progress Software and Blackbaud.
Diversification Opportunities for Progress Software and Blackbaud
-0.27 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Progress and Blackbaud is -0.27. Overlapping area represents the amount of risk that can be diversified away by holding Progress Software and Blackbaud in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Blackbaud and Progress Software 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 Progress Software are associated (or correlated) with Blackbaud. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Blackbaud has no effect on the direction of Progress Software i.e., Progress Software and Blackbaud go up and down completely randomly.
Pair Corralation between Progress Software and Blackbaud
Given the investment horizon of 90 days Progress Software is expected to under-perform the Blackbaud. In addition to that, Progress Software is 1.07 times more volatile than Blackbaud. It trades about -0.19 of its total potential returns per unit of risk. Blackbaud is currently generating about 0.04 per unit of volatility. If you would invest 6,396 in Blackbaud on June 3, 2025 and sell it today you would earn a total of 275.00 from holding Blackbaud or generate 4.3% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Progress Software vs. Blackbaud
Performance |
| Timeline |
| Progress Software |
| Blackbaud |
Progress Software and Blackbaud Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Progress Software and Blackbaud
The main advantage of trading using opposite Progress Software and Blackbaud positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Progress Software position performs unexpectedly, Blackbaud 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 Blackbaud will offset losses from the drop in Blackbaud's long position.| Progress Software vs. PDF Solutions | Progress Software vs. ePlus inc | Progress Software vs. PROS Holdings | Progress Software vs. Blackbaud |
| Blackbaud vs. CommVault Systems | Blackbaud vs. Manhattan Associates | Blackbaud vs. Agilysys | Blackbaud vs. ACI Worldwide |
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 Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
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