Correlation Between Arbor Realty and Isonics

Can any of the company-specific risk be diversified away by investing in both Arbor Realty and Isonics 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 Arbor Realty and Isonics into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Arbor Realty Trust and Isonics, you can compare the effects of market volatilities on Arbor Realty and Isonics 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 Arbor Realty with a short position of Isonics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Arbor Realty and Isonics.

Diversification Opportunities for Arbor Realty and Isonics

0.0

Correlation Coefficient

Arbor Realty  Isonics

Pay attention - limited upside

The 3 months correlation between Arbor and Isonics is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Arbor Realty Trust and Isonics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Isonics and Arbor Realty 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 Arbor Realty Trust are associated (or correlated) with Isonics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Isonics has no effect on the direction of Arbor Realty i.e., Arbor Realty and Isonics go up and down completely randomly.

Pair Corralation between Arbor Realty and Isonics

If you would invest  1,078  in Arbor Realty Trust on July 15, 2025 and sell it today you would earn a total of  61.00  from holding Arbor Realty Trust or generate 5.66% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Arbor Realty Trust  vs.  Isonics

Arbor Realty Trust

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Arbor Realty Trust are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Even with relatively invariable fundamental drivers, Arbor Realty is not utilizing all of its potentials. The latest stock price agitation, may contribute to short-term losses for the retail investors.

Isonics

Risk-Adjusted Performance

Weakest

Over the last 90 days Isonics has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy basic indicators, Isonics is not utilizing all of its potentials. The latest stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with Arbor Realty and Isonics

The main advantage of trading using opposite Arbor Realty and Isonics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Arbor Realty position performs unexpectedly, Isonics 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 Isonics will offset losses from the drop in Isonics' long position.

The idea behind Arbor Realty Trust and Isonics pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.