Correlation Between CCFNB Bancorp and STAR Financial

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

By analyzing existing cross correlation between CCFNB Bancorp and STAR Financial Group, you can compare the effects of market volatilities on CCFNB Bancorp and STAR Financial 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 CCFNB Bancorp with a short position of STAR Financial. Check out your portfolio center. Please also check ongoing floating volatility patterns of CCFNB Bancorp and STAR Financial.

Diversification Opportunities for CCFNB Bancorp and STAR Financial

0.0

Correlation Coefficient

CCFNB Bancorp  STAR Financial

Pay attention - limited upside

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

Pair Corralation between CCFNB Bancorp and STAR Financial

If you would invest  5,238  in CCFNB Bancorp on August 23, 2025 and sell it today you would earn a total of  12.00  from holding CCFNB Bancorp or generate 0.23% return on investment over 90 days.

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

CCFNB Bancorp  vs.  STAR Financial Group

CCFNB Bancorp

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in CCFNB Bancorp are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of very inconsistent technical and fundamental indicators, CCFNB Bancorp may actually be approaching a critical reversion point that can send shares even higher in December 2025.

STAR Financial Group

Risk-Adjusted Performance

Weakest

Over the last 90 days STAR Financial Group has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong technical and fundamental indicators, STAR Financial is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with CCFNB Bancorp and STAR Financial

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

The idea behind CCFNB Bancorp and STAR Financial Group 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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.