Correlation Between Harbor Corporate and 2x Long

Can any of the company-specific risk be diversified away by investing in both Harbor Corporate and 2x Long 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 Harbor Corporate and 2x Long into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Harbor Corporate Culture and 2x Long VIX, you can compare the effects of market volatilities on Harbor Corporate and 2x Long 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 Harbor Corporate with a short position of 2x Long. Check out your portfolio center. Please also check ongoing floating volatility patterns of Harbor Corporate and 2x Long.

Diversification Opportunities for Harbor Corporate and 2x Long

-0.8

Correlation Coefficient

Harbor Corporate  2x Long

Pay attention - limited upside

The 3 months correlation between Harbor and UVIX is -0.8. Overlapping area represents the amount of risk that can be diversified away by holding Harbor Corporate Culture and 2x Long VIX in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on 2x Long VIX and Harbor Corporate 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 Harbor Corporate Culture are associated (or correlated) with 2x Long. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of 2x Long VIX has no effect on the direction of Harbor Corporate i.e., Harbor Corporate and 2x Long go up and down completely randomly.

Pair Corralation between Harbor Corporate and 2x Long

Given the investment horizon of 90 days Harbor Corporate is expected to generate 6.94 times less return on investment than 2x Long. But when comparing it to its historical volatility, Harbor Corporate Culture is 10.51 times less risky than 2x Long. It trades about 0.03 of its potential returns per unit of risk. 2x Long VIX is currently generating about 0.02 of returns per unit of risk over similar time horizon. If you would invest  1,202  in 2x Long VIX on August 22, 2025 and sell it today you would lose (71.00) from holding 2x Long VIX or give up 5.91% of portfolio value over 90 days.

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

Harbor Corporate Culture  vs.  2x Long VIX

Harbor Corporate Culture

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Harbor Corporate Culture are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite fairly strong basic indicators, Harbor Corporate is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

2x Long VIX

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in 2x Long VIX are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. In spite of fairly inconsistent forward indicators, 2x Long may actually be approaching a critical reversion point that can send shares even higher in December 2025.

Pair Trading with Harbor Corporate and 2x Long

The main advantage of trading using opposite Harbor Corporate and 2x Long positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Harbor Corporate position performs unexpectedly, 2x Long 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 2x Long will offset losses from the drop in 2x Long's long position.

The idea behind Harbor Corporate Culture and 2x Long VIX 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 Bonds Directory module to find actively traded corporate debentures issued by US companies.