Correlation Between FONIX MOBILE and ETFS Coffee

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

By analyzing existing cross correlation between FONIX MOBILE PLC and ETFS Coffee ETC, you can compare the effects of market volatilities on FONIX MOBILE and ETFS Coffee 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 FONIX MOBILE with a short position of ETFS Coffee. Check out your portfolio center. Please also check ongoing floating volatility patterns of FONIX MOBILE and ETFS Coffee.

Diversification Opportunities for FONIX MOBILE and ETFS Coffee

0.54

Correlation Coefficient

FONIX MOBILE  ETFS Coffee

Very weak diversification

The 3 months correlation between FONIX and ETFS is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding FONIX MOBILE PLC and ETFS Coffee ETC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ETFS Coffee ETC and FONIX MOBILE 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 FONIX MOBILE PLC are associated (or correlated) with ETFS Coffee. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ETFS Coffee ETC has no effect on the direction of FONIX MOBILE i.e., FONIX MOBILE and ETFS Coffee go up and down completely randomly.

Pair Corralation between FONIX MOBILE and ETFS Coffee

If you would invest  2,574  in ETFS Coffee ETC on October 9, 2025 and sell it today you would earn a total of  3,430  from holding ETFS Coffee ETC or generate 133.26% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	0.0%
Values	Daily Returns

FONIX MOBILE PLC  vs.  ETFS Coffee ETC

FONIX MOBILE PLC

Risk-Adjusted Performance

Weakest

Over the last 90 days FONIX MOBILE PLC has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest weak performance, the Stock's basic indicators remain stable and the current disturbance on Wall Street may also be a sign of long-run gains for the company stockholders.

ETFS Coffee ETC

Risk-Adjusted Performance

Weakest

Compared to the overall equity markets, risk-adjusted returns on investments in ETFS Coffee ETC are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, ETFS Coffee is not utilizing all of its potentials. The newest stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with FONIX MOBILE and ETFS Coffee

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

The idea behind FONIX MOBILE PLC and ETFS Coffee ETC 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 Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.