Correlation Analysis Between FVCBankcorp and FFBW

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

FVCBankcorp  
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Risk-Adjusted Performance

Over the last 30 days FVCBankcorp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, FVCBankcorp is not utilizing all of its potentials. The current stock price disturbance, may contribute to short term losses for the investors.
FFBW  
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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.

FVCBankcorp and FFBW Volatility Contrast

 Predicted Return Density 
    
  Returns 

FVCBankcorp Inc  vs.  FFBW Inc

 Performance (%) 
    
  Timeline 

Pair Volatility

Given the investment horizon of 30 days, FVCBankcorp is expected to under-perform the FFBW. But the stock apears to be less risky and, when comparing its historical volatility, FVCBankcorp is 1.17 times less risky than FFBW. The stock trades about -0.04 of its potential returns per unit of risk. The FFBW is currently generating about -0.01 of returns per unit of risk over similar time horizon. If you would invest  1,091  in FFBW on December 26, 2019 and sell it today you would lose (21.00)  from holding FFBW or give up 1.92% of portfolio value over 30 days.

Pair Corralation between FVCBankcorp and FFBW

0.12
Time Period3 Months [change]
DirectionPositive 
StrengthInsignificant
Accuracy95.31%
ValuesDaily Returns

Diversification Opportunities for FVCBankcorp and FFBW

FVCBankcorp Inc diversification synergy

Average diversification

Overlapping area represents the amount of risk that can be diversified away by holding FVCBankcorp Inc and FFBW Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on FFBW and FVCBankcorp 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 FVCBankcorp are associated (or correlated) with FFBW. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of FFBW has no effect on the direction of FVCBankcorp i.e. FVCBankcorp and FFBW go up and down completely randomly.
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