Correlation Between YieldMax Short and YieldMax AMZN

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

By analyzing existing cross correlation between YieldMax Short NVDA and YieldMax AMZN Option, you can compare the effects of market volatilities on YieldMax Short and YieldMax AMZN 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 YieldMax Short with a short position of YieldMax AMZN. Check out your portfolio center. Please also check ongoing floating volatility patterns of YieldMax Short and YieldMax AMZN.

Diversification Opportunities for YieldMax Short and YieldMax AMZN

0.01

Correlation Coefficient

YieldMax Short  YieldMax AMZN

Significant diversification

The 3 months correlation between YieldMax and YieldMax is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding YieldMax Short NVDA and YieldMax AMZN Option in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on YieldMax AMZN Option and YieldMax Short 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 YieldMax Short NVDA are associated (or correlated) with YieldMax AMZN. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of YieldMax AMZN Option has no effect on the direction of YieldMax Short i.e., YieldMax Short and YieldMax AMZN go up and down completely randomly.

Pair Corralation between YieldMax Short and YieldMax AMZN

Given the investment horizon of 90 days YieldMax Short NVDA is expected to under-perform the YieldMax AMZN. But the etf apears to be less risky and, when comparing its historical volatility, YieldMax Short NVDA is 1.11 times less risky than YieldMax AMZN. The etf trades about -0.17 of its potential returns per unit of risk. The YieldMax AMZN Option is currently generating about 0.0 of returns per unit of risk over similar time horizon. If you would invest  1,437  in YieldMax AMZN Option on July 7, 2025 and sell it today you would lose (11.00) from holding YieldMax AMZN Option or give up 0.77% of portfolio value over 90 days.

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

YieldMax Short NVDA  vs.  YieldMax AMZN Option

YieldMax Short NVDA

Risk-Adjusted Performance

Weakest

Over the last 90 days YieldMax Short NVDA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unfluctuating performance in the last few months, the Etf's basic indicators remain comparatively stable which may send shares a bit higher in November 2025. The newest uproar may also be a sign of mid-term up-swing for the exchange-traded fund private investors.

YieldMax AMZN Option

Risk-Adjusted Performance

Weakest

Over the last 90 days YieldMax AMZN Option has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong basic indicators, YieldMax AMZN is not utilizing all of its potentials. The newest stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with YieldMax Short and YieldMax AMZN

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

The idea behind YieldMax Short NVDA and YieldMax AMZN Option 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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.