Correlation Between Emerald Expositions and Scisparc

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

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

Diversification Opportunities for Emerald Expositions and Scisparc

0.3

Correlation Coefficient

Emerald Expositions  Scisparc

Weak diversification

The 3 months correlation between Emerald and Scisparc is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Emerald Expositions Events and Scisparc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Scisparc and Emerald Expositions 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 Emerald Expositions Events are associated (or correlated) with Scisparc. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Scisparc has no effect on the direction of Emerald Expositions i.e., Emerald Expositions and Scisparc go up and down completely randomly.

Pair Corralation between Emerald Expositions and Scisparc

Considering the 90-day investment horizon Emerald Expositions Events is expected to generate 0.51 times more return on investment than Scisparc. However, Emerald Expositions Events is 1.94 times less risky than Scisparc. It trades about 0.05 of its potential returns per unit of risk. Scisparc is currently generating about -0.06 per unit of risk. If you would invest  469.00  in Emerald Expositions Events on May 15, 2025 and sell it today you would earn a total of  27.00  from holding Emerald Expositions Events or generate 5.76% return on investment over 90 days.

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

Emerald Expositions Events  vs.  Scisparc

Emerald Expositions

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Emerald Expositions Events are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of fairly weak technical and fundamental indicators, Emerald Expositions may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Scisparc

Risk-Adjusted Performance

Weakest

Over the last 90 days Scisparc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unsteady performance in the last few months, the Stock's basic indicators remain rather sound which may send shares a bit higher in September 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

Pair Trading with Emerald Expositions and Scisparc

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

The idea behind Emerald Expositions Events and Scisparc 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.

Check out your portfolio center.

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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.