Correlation Between Alexanders and Wheeler Real

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

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

Diversification Opportunities for Alexanders and Wheeler Real

0.68

Correlation Coefficient

Alexanders  Wheeler Real

Poor diversification

The 3 months correlation between Alexanders and Wheeler is 0.68. Overlapping area represents the amount of risk that can be diversified away by holding Alexanders and Wheeler Real Estate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Wheeler Real Estate and Alexanders 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 Alexanders are associated (or correlated) with Wheeler Real. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Wheeler Real Estate has no effect on the direction of Alexanders i.e., Alexanders and Wheeler Real go up and down completely randomly.

Pair Corralation between Alexanders and Wheeler Real

Considering the 90-day investment horizon Alexanders is expected to generate 0.1 times more return on investment than Wheeler Real. However, Alexanders is 10.33 times less risky than Wheeler Real. It trades about -0.11 of its potential returns per unit of risk. Wheeler Real Estate is currently generating about -0.1 per unit of risk. If you would invest  23,945  in Alexanders on September 12, 2025 and sell it today you would lose (2,620) from holding Alexanders or give up 10.94% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Alexanders  vs.  Wheeler Real Estate

Alexanders

Risk-Adjusted Performance

Weakest

Over the last 90 days Alexanders has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unfluctuating performance, the Stock's essential indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the company investors.

Wheeler Real Estate

Risk-Adjusted Performance

Weakest

Over the last 90 days Wheeler Real Estate has generated negative risk-adjusted returns adding no value to investors with long positions. Even with weak performance in the last few months, the Stock's essential indicators remain relatively invariable which may send shares a bit higher in January 2026. The latest agitation may also be a sign of long-running up-swing for the enterprise retail investors.

Pair Trading with Alexanders and Wheeler Real

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

The idea behind Alexanders and Wheeler Real Estate 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.

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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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.