Correlation Between WisdomTree and Prospect Capital
The linkage between WisdomTree and Prospect Capital reflects patterns in their return behavior. This framework highlights how diversifiable risk is affected when both are included. It reflects past interactions between the two instruments using available data. The dataset reflects available inputs without directional implication.
This comparison shows whether WisdomTree and Prospect Capital tend to move together or diverge across regimes. Studying them side by side supports cleaner diversification decisions. Relative-value behavior can be explored through a long WisdomTree and short Prospect Capital structure. Volatility details for WisdomTree and Prospect Capital provide supplemental context. Go to your portfolio center
Diversification Opportunities for WisdomTree and Prospect Capital
0.72 | Correlation Coefficient |
Poor diversification
The 3 months correlation between WisdomTree and Prospect is 0.72. Overlapping area represents the amount of risk that can be diversified away by holding WisdomTree and Prospect Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Prospect Capital and WisdomTree 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 WisdomTree are associated (or correlated) with Prospect Capital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Prospect Capital has no effect on the direction of WisdomTree i.e., WisdomTree and Prospect Capital go up and down completely randomly.
Pair Correlation Between WisdomTree and Prospect Capital
Allowing for the 90-day total investment horizon WisdomTree is expected to generate 1.13 times more return on investment than Prospect Capital. However, WisdomTree is 1.13 times more volatile than Prospect Capital. It trades about 0.11 of its potential returns per unit of risk. Prospect Capital is currently generating about 0.05 per unit of risk. If you had invested $ 1,236 in WisdomTree on December 27, 2025 and sold it today you would have earned a total of $ 222.00 from holding WisdomTree or generated 17.96% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
WisdomTree vs. Prospect Capital
Performance |
| Timeline |
| WisdomTree |
Risk-Adjusted Performance
Moderate
Weak | Strong |
| Prospect Capital |
Risk-Adjusted Performance
Mild
Weak | Strong |
WisdomTree and Prospect Capital Volatility Contrast
Predicted Return Distribution |
| Density |
Pair Trading with WisdomTree and Prospect Capital
Combining WisdomTree with Prospect Capital in a pair setup can help isolate spread behavior from broader market movement. Used correctly, the structure can help offset losses in one leg when unexpected sector or market pressure hits both names.| WisdomTree vs. Acadian Asset Management | WisdomTree vs. Tri Continental Closed | WisdomTree vs. Grab Holdings | WisdomTree vs. Oxford Lane Capital |
| Prospect Capital vs. Goldman Sachs BDC | Prospect Capital vs. Capital Southwest | Prospect Capital vs. MidCap Financial Investment | Prospect Capital vs. New Mountain Finance |
Go to your portfolio centerThe information on this page should be treated as a complementary input when building or adjusting a diversified portfolio. The stronger workflow is to validate these signals with other models before acting. You can also try the Share Portfolio module to track or share privately all of your investments from the convenience of any device.
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