Correlation Between CID HoldCo, and Israel Acquisitions

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

By analyzing existing cross correlation between CID HoldCo, Common and Israel Acquisitions Corp, you can compare the effects of market volatilities on CID HoldCo, and Israel Acquisitions 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 CID HoldCo, with a short position of Israel Acquisitions. Check out your portfolio center. Please also check ongoing floating volatility patterns of CID HoldCo, and Israel Acquisitions.

Diversification Opportunities for CID HoldCo, and Israel Acquisitions

0.33

Correlation Coefficient

CID HoldCo,  Israel Acquisitions

Weak diversification

The 3 months correlation between CID and Israel is 0.33. Overlapping area represents the amount of risk that can be diversified away by holding CID HoldCo, Common and Israel Acquisitions Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Israel Acquisitions Corp and CID HoldCo, 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 CID HoldCo, Common are associated (or correlated) with Israel Acquisitions. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Israel Acquisitions Corp has no effect on the direction of CID HoldCo, i.e., CID HoldCo, and Israel Acquisitions go up and down completely randomly.

Pair Corralation between CID HoldCo, and Israel Acquisitions

Given the investment horizon of 90 days CID HoldCo, Common is expected to under-perform the Israel Acquisitions. In addition to that, CID HoldCo, is 3.9 times more volatile than Israel Acquisitions Corp. It trades about -0.24 of its total potential returns per unit of risk. Israel Acquisitions Corp is currently generating about 0.0 per unit of volatility. If you would invest  1,256  in Israel Acquisitions Corp on September 4, 2025 and sell it today you would lose (6.00) from holding Israel Acquisitions Corp or give up 0.48% of portfolio value over 90 days.

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

CID HoldCo, Common  vs.  Israel Acquisitions Corp

CID HoldCo, Common

Risk-Adjusted Performance

Weakest

Over the last 90 days CID HoldCo, Common 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 forward indicators remain rather sound which may send shares a bit higher in January 2026. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

Israel Acquisitions Corp

Risk-Adjusted Performance

Weakest

Over the last 90 days Israel Acquisitions Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent basic indicators, Israel Acquisitions is not utilizing all of its potentials. The current stock price mess, may contribute to short-term losses for the institutional investors.

Pair Trading with CID HoldCo, and Israel Acquisitions

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

The idea behind CID HoldCo, Common and Israel Acquisitions Corp 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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.