Correlation Between Progressive Planet and Rock Tech

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

By analyzing existing cross correlation between Progressive Planet Solutions and Rock Tech Lithium, you can compare the effects of market volatilities on Progressive Planet and Rock Tech 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 Progressive Planet with a short position of Rock Tech. Check out your portfolio center. Please also check ongoing floating volatility patterns of Progressive Planet and Rock Tech.

Diversification Opportunities for Progressive Planet and Rock Tech

-0.07

Correlation Coefficient

Progressive Planet  Rock Tech

Good diversification

The 3 months correlation between Progressive and Rock is -0.07. Overlapping area represents the amount of risk that can be diversified away by holding Progressive Planet Solutions and Rock Tech Lithium in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rock Tech Lithium and Progressive Planet 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 Progressive Planet Solutions are associated (or correlated) with Rock Tech. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rock Tech Lithium has no effect on the direction of Progressive Planet i.e., Progressive Planet and Rock Tech go up and down completely randomly.

Pair Corralation between Progressive Planet and Rock Tech

Assuming the 90 days horizon Progressive Planet Solutions is expected to generate 1.03 times more return on investment than Rock Tech. However, Progressive Planet is 1.03 times more volatile than Rock Tech Lithium. It trades about 0.02 of its potential returns per unit of risk. Rock Tech Lithium is currently generating about -0.08 per unit of risk. If you would invest  21.00  in Progressive Planet Solutions on September 13, 2025 and sell it today you would earn a total of  0.00  from holding Progressive Planet Solutions or generate 0.0% return on investment over 90 days.

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

Progressive Planet Solutions  vs.  Rock Tech Lithium

Progressive Planet

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Progressive Planet Solutions are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, Progressive Planet is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Rock Tech Lithium

Risk-Adjusted Performance

Weakest

Over the last 90 days Rock Tech Lithium has generated negative risk-adjusted returns adding no value to investors with long positions. Despite inconsistent performance in the last few months, the Stock's basic indicators remain nearly stable which may send shares a bit higher in January 2026. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Progressive Planet and Rock Tech

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

The idea behind Progressive Planet Solutions and Rock Tech Lithium 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 Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.