Correlation Between Fidelity MSCI and Amplify Junior

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

By analyzing existing cross correlation between Fidelity MSCI Financials and Amplify Junior Silver, you can compare the effects of market volatilities on Fidelity MSCI and Amplify Junior 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 Fidelity MSCI with a short position of Amplify Junior. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fidelity MSCI and Amplify Junior.

Diversification Opportunities for Fidelity MSCI and Amplify Junior

-0.35

Correlation Coefficient

Fidelity MSCI  Amplify Junior

Very good diversification

The 3 months correlation between Fidelity and Amplify is -0.35. Overlapping area represents the amount of risk that can be diversified away by holding Fidelity MSCI Financials and Amplify Junior Silver in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amplify Junior Silver and Fidelity MSCI 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 Fidelity MSCI Financials are associated (or correlated) with Amplify Junior. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amplify Junior Silver has no effect on the direction of Fidelity MSCI i.e., Fidelity MSCI and Amplify Junior go up and down completely randomly.

Pair Corralation between Fidelity MSCI and Amplify Junior

Given the investment horizon of 90 days Fidelity MSCI Financials is expected to under-perform the Amplify Junior. But the etf apears to be less risky and, when comparing its historical volatility, Fidelity MSCI Financials is 3.64 times less risky than Amplify Junior. The etf trades about -0.08 of its potential returns per unit of risk. The Amplify Junior Silver is currently generating about 0.16 of returns per unit of risk over similar time horizon. If you would invest  1,723  in Amplify Junior Silver on August 22, 2025 and sell it today you would earn a total of  555.00  from holding Amplify Junior Silver or generate 32.21% return on investment over 90 days.

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

Fidelity MSCI Financials  vs.  Amplify Junior Silver

Fidelity MSCI Financials

Risk-Adjusted Performance

Weakest

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

Amplify Junior Silver

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Amplify Junior Silver are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. Even with relatively fragile essential indicators, Amplify Junior revealed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Fidelity MSCI and Amplify Junior

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

The idea behind Fidelity MSCI Financials and Amplify Junior Silver 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 Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.