Correlation Analysis Between FFBW and Luther Burbank

Analyzing existing cross correlation between FFBW and Luther Burbank Corporation. You can compare the effects of market volatilities on FFBW and Luther Burbank 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 FFBW with a short position of Luther Burbank. See also your portfolio center. Please also check ongoing floating volatility patterns of FFBW and Luther Burbank.
Horizon     30 Days    Login   to change
Symbolsvs
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Comparative Performance

FFBW  
00

Risk-Adjusted Performance

Over the last 30 days FFBW has generated negative risk-adjusted returns adding no value to investors with long positions. Inspite fairly stable primary indicators, FFBW is not utilizing all of its potentials. The current stock price fuss, may contribute to near short-term losses for the directors.
Luther Burbank  
33

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Luther Burbank Corporation are ranked lower than 3 (%) of all global equities and portfolios over the last 30 days. Despite somewhat strong basic indicators, Luther Burbank is not utilizing all of its potentials. The current stock price disturbance, may contribute to short term losses for the investors.

FFBW and Luther Burbank Volatility Contrast

 Predicted Return Density 
    
  Returns 

FFBW Inc  vs.  Luther Burbank Corp.

 Performance (%) 
    
  Timeline 

Pair Volatility

Given the investment horizon of 30 days, FFBW is expected to generate 5.97 times less return on investment than Luther Burbank. In addition to that, FFBW is 1.38 times more volatile than Luther Burbank Corporation. It trades about 0.01 of its total potential returns per unit of risk. Luther Burbank Corporation is currently generating about 0.05 per unit of volatility. If you would invest  1,111  in Luther Burbank Corporation on December 20, 2019 and sell it today you would earn a total of  39.00  from holding Luther Burbank Corporation or generate 3.51% return on investment over 30 days.

Pair Corralation between FFBW and Luther Burbank

0.2
Time Period3 Months [change]
DirectionPositive 
StrengthVery Weak
Accuracy98.41%
ValuesDaily Returns

Diversification Opportunities for FFBW and Luther Burbank

FFBW Inc diversification synergy

Modest diversification

Overlapping area represents the amount of risk that can be diversified away by holding FFBW Inc and Luther Burbank Corp. in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Luther Burbank and FFBW 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 FFBW are associated (or correlated) with Luther Burbank. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Luther Burbank has no effect on the direction of FFBW i.e. FFBW and Luther Burbank go up and down completely randomly.
See also your portfolio center. Please also try Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.