Correlation Between Asure Software and ON24

Can any of the company-specific risk be diversified away by investing in both Asure Software and ON24 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 Asure Software and ON24 into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Asure Software and ON24 Inc, you can compare the effects of market volatilities on Asure Software and ON24 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 Asure Software with a short position of ON24. Check out your portfolio center. Please also check ongoing floating volatility patterns of Asure Software and ON24.

Diversification Opportunities for Asure Software and ON24

0.05

Correlation Coefficient

Asure Software  ON24

Significant diversification

The 3 months correlation between Asure and ON24 is 0.05. Overlapping area represents the amount of risk that can be diversified away by holding Asure Software and ON24 Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ON24 Inc and Asure Software 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 Asure Software are associated (or correlated) with ON24. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ON24 Inc has no effect on the direction of Asure Software i.e., Asure Software and ON24 go up and down completely randomly.

Pair Corralation between Asure Software and ON24

Given the investment horizon of 90 days Asure Software is expected to under-perform the ON24. In addition to that, Asure Software is 1.29 times more volatile than ON24 Inc. It trades about -0.07 of its total potential returns per unit of risk. ON24 Inc is currently generating about 0.04 per unit of volatility. If you would invest  468.00  in ON24 Inc on May 6, 2025 and sell it today you would earn a total of  18.00  from holding ON24 Inc or generate 3.85% return on investment over 90 days.

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

Asure Software  vs.  ON24 Inc

Asure Software

Risk-Adjusted Performance

Very Weak

Over the last 90 days Asure Software has generated negative risk-adjusted returns adding no value to investors with long positions. Even with inconsistent performance in the last few months, the Stock's basic indicators remain relatively invariable which may send shares a bit higher in September 2025. The latest agitation may also be a sign of long-running up-swing for the enterprise retail investors.

ON24 Inc

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in ON24 Inc are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, ON24 is not utilizing all of its potentials. The latest stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with Asure Software and ON24

The main advantage of trading using opposite Asure Software and ON24 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Asure Software position performs unexpectedly, ON24 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 ON24 will offset losses from the drop in ON24's long position.

The idea behind Asure Software and ON24 Inc 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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.