Correlation Between Fobi AI and C3 Ai

Can any of the company-specific risk be diversified away by investing in both Fobi AI and C3 Ai 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 Fobi AI and C3 Ai into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Fobi AI and C3 Ai Inc, you can compare the effects of market volatilities on Fobi AI and C3 Ai 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 Fobi AI with a short position of C3 Ai. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fobi AI and C3 Ai.

Diversification Opportunities for Fobi AI and C3 Ai

-0.37

Correlation Coefficient

Fobi AI  C3 Ai

Very good diversification

The 3 months correlation between Fobi and C3 Ai is -0.37. Overlapping area represents the amount of risk that can be diversified away by holding Fobi AI and C3 Ai Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on C3 Ai Inc and Fobi AI 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 Fobi AI are associated (or correlated) with C3 Ai. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of C3 Ai Inc has no effect on the direction of Fobi AI i.e., Fobi AI and C3 Ai go up and down completely randomly.

Pair Corralation between Fobi AI and C3 Ai

Assuming the 90 days horizon Fobi AI is expected to generate 11.55 times more return on investment than C3 Ai. However, Fobi AI is 11.55 times more volatile than C3 Ai Inc. It trades about 0.22 of its potential returns per unit of risk. C3 Ai Inc is currently generating about 0.03 per unit of risk. If you would invest  1.25  in Fobi AI on May 6, 2025 and sell it today you would earn a total of  1.25  from holding Fobi AI or generate 100.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	82.26%
Values	Daily Returns

Fobi AI  vs.  C3 Ai Inc

Fobi AI

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Fobi AI are ranked lower than 17 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile forward indicators, Fobi AI reported solid returns over the last few months and may actually be approaching a breakup point.

C3 Ai Inc

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in C3 Ai Inc are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite fairly unfluctuating forward indicators, C3 Ai may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with Fobi AI and C3 Ai

The main advantage of trading using opposite Fobi AI and C3 Ai positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fobi AI position performs unexpectedly, C3 Ai 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 C3 Ai will offset losses from the drop in C3 Ai's long position.

The idea behind Fobi AI and C3 Ai Inc 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.