Correlation Between CASH Financial and FDCTech

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

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

Diversification Opportunities for CASH Financial and FDCTech

0.0

Correlation Coefficient

CASH Financial  FDCTech

Pay attention - limited upside

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

Pair Corralation between CASH Financial and FDCTech

If you would invest  8.90  in FDCTech on August 17, 2025 and sell it today you would lose (1.65) from holding FDCTech or give up 18.54% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.46%
Values	Daily Returns

CASH Financial Services  vs.  FDCTech

CASH Financial Services

Risk-Adjusted Performance

Weakest

Over the last 90 days CASH Financial Services has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, CASH Financial is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

FDCTech

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in FDCTech are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak fundamental indicators, FDCTech unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with CASH Financial and FDCTech

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

The idea behind CASH Financial Services and FDCTech 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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.