Correlation Between SPDR Portfolio and IShares Core
Can any of the company-specific risk be diversified away by investing in both SPDR Portfolio and IShares Core 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 SPDR Portfolio and IShares Core into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SPDR Portfolio SP and iShares Core High, you can compare the effects of market volatilities on SPDR Portfolio and IShares Core 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 SPDR Portfolio with a short position of IShares Core. Check out your portfolio center. Please also check ongoing floating volatility patterns of SPDR Portfolio and IShares Core.
Diversification Opportunities for SPDR Portfolio and IShares Core
0.11 | Correlation Coefficient |
Average diversification
The 3 months correlation between SPDR and IShares is 0.11. Overlapping area represents the amount of risk that can be diversified away by holding SPDR Portfolio SP and iShares Core High in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on iShares Core High and SPDR Portfolio 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 SPDR Portfolio SP are associated (or correlated) with IShares Core. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of iShares Core High has no effect on the direction of SPDR Portfolio i.e., SPDR Portfolio and IShares Core go up and down completely randomly.
Pair Corralation between SPDR Portfolio and IShares Core
Given the investment horizon of 90 days SPDR Portfolio SP is expected to generate 0.91 times more return on investment than IShares Core. However, SPDR Portfolio SP is 1.1 times less risky than IShares Core. It trades about 0.22 of its potential returns per unit of risk. iShares Core High is currently generating about 0.02 per unit of risk. If you would invest 8,147 in SPDR Portfolio SP on September 26, 2025 and sell it today you would earn a total of 210.00 from holding SPDR Portfolio SP or generate 2.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
SPDR Portfolio SP vs. iShares Core High
Performance |
| Timeline |
| SPDR Portfolio SP |
| iShares Core High |
SPDR Portfolio and IShares Core Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SPDR Portfolio and IShares Core
The main advantage of trading using opposite SPDR Portfolio and IShares Core positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SPDR Portfolio position performs unexpectedly, IShares Core 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 IShares Core will offset losses from the drop in IShares Core's long position.| SPDR Portfolio vs. Vanguard ESG Stock | SPDR Portfolio vs. SPDR Portfolio SP | SPDR Portfolio vs. Invesco SP 500 | SPDR Portfolio vs. Schwab Mid Cap ETF |
| IShares Core vs. iShares MSCI EAFE | IShares Core vs. Dimensional Small Cap | IShares Core vs. ProShares SP 500 | IShares Core vs. iShares ESG Aware |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| CEOs Directory Screen CEOs from public companies around the world |