Correlation Between Credit Suisse and ScanSource
Can any of the company-specific risk be diversified away by investing in both Credit Suisse and ScanSource 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 Credit Suisse and ScanSource into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Credit Suisse X Links and ScanSource, you can compare the effects of market volatilities on Credit Suisse and ScanSource 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 Credit Suisse with a short position of ScanSource. Check out your portfolio center. Please also check ongoing floating volatility patterns of Credit Suisse and ScanSource.
Diversification Opportunities for Credit Suisse and ScanSource
-0.19 | Correlation Coefficient |
Good diversification
The 3 months correlation between Credit and ScanSource is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding Credit Suisse X Links and ScanSource in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ScanSource and Credit Suisse 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 Credit Suisse X Links are associated (or correlated) with ScanSource. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ScanSource has no effect on the direction of Credit Suisse i.e., Credit Suisse and ScanSource go up and down completely randomly.
Pair Corralation between Credit Suisse and ScanSource
Given the investment horizon of 90 days Credit Suisse X Links is expected to under-perform the ScanSource. But the etf apears to be less risky and, when comparing its historical volatility, Credit Suisse X Links is 1.73 times less risky than ScanSource. The etf trades about -0.02 of its potential returns per unit of risk. The ScanSource is currently generating about 0.12 of returns per unit of risk over similar time horizon. If you would invest 3,379 in ScanSource on May 31, 2025 and sell it today you would earn a total of 1,090 from holding ScanSource or generate 32.26% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Credit Suisse X Links vs. ScanSource
Performance |
| Timeline |
| Credit Suisse X |
| ScanSource |
Credit Suisse and ScanSource Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Credit Suisse and ScanSource
The main advantage of trading using opposite Credit Suisse and ScanSource positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Credit Suisse position performs unexpectedly, ScanSource 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 ScanSource will offset losses from the drop in ScanSource's long position.| Credit Suisse vs. Credit Suisse X Links | Credit Suisse vs. Credit Suisse X Links | Credit Suisse vs. Global X Russell | Credit Suisse vs. Cornerstone Strategic Value |
| ScanSource vs. PC Connection | ScanSource vs. Insight Enterprises | ScanSource vs. Climb Global Solutions | ScanSource vs. Synnex |
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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
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