Correlation Between AppTech Payments and Goldman Sachs

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

By analyzing existing cross correlation between AppTech Payments Corp and Goldman Sachs Technology, you can compare the effects of market volatilities on AppTech Payments and Goldman Sachs 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 AppTech Payments with a short position of Goldman Sachs. Check out your portfolio center. Please also check ongoing floating volatility patterns of AppTech Payments and Goldman Sachs.

Diversification Opportunities for AppTech Payments and Goldman Sachs

-0.67

Correlation Coefficient

AppTech Payments  Goldman Sachs

Excellent diversification

The 3 months correlation between AppTech and Goldman is -0.67. Overlapping area represents the amount of risk that can be diversified away by holding AppTech Payments Corp and Goldman Sachs Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Goldman Sachs Technology and AppTech Payments 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 AppTech Payments Corp are associated (or correlated) with Goldman Sachs. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Goldman Sachs Technology has no effect on the direction of AppTech Payments i.e., AppTech Payments and Goldman Sachs go up and down completely randomly.

Pair Corralation between AppTech Payments and Goldman Sachs

Assuming the 90 days horizon AppTech Payments Corp is expected to under-perform the Goldman Sachs. In addition to that, AppTech Payments is 15.6 times more volatile than Goldman Sachs Technology. It trades about -0.58 of its total potential returns per unit of risk. Goldman Sachs Technology is currently generating about 0.22 per unit of volatility. If you would invest  2,793  in Goldman Sachs Technology on May 21, 2025 and sell it today you would earn a total of  362.00  from holding Goldman Sachs Technology or generate 12.96% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Weak
Accuracy	4.92%
Values	Daily Returns

AppTech Payments Corp  vs.  Goldman Sachs Technology

AppTech Payments Corp

Risk-Adjusted Performance

Weakest

Over the last 90 days AppTech Payments Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain fairly stable which may send shares a bit higher in September 2025. The latest fuss may also be a sign of long-term up-swing for the venture sophisticated investors.

Goldman Sachs Technology

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Goldman Sachs Technology are ranked lower than 17 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak basic indicators, Goldman Sachs showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with AppTech Payments and Goldman Sachs

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

The idea behind AppTech Payments Corp and Goldman Sachs Technology 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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.