Correlation Between Integral and ZW Data

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

By analyzing existing cross correlation between Integral Ad Science and ZW Data Action, you can compare the effects of market volatilities on Integral and ZW Data 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 Integral with a short position of ZW Data. Check out your portfolio center. Please also check ongoing floating volatility patterns of Integral and ZW Data.

Diversification Opportunities for Integral and ZW Data

-0.32

Correlation Coefficient

Integral  ZW Data

Very good diversification

The 3 months correlation between Integral and CNET is -0.32. Overlapping area represents the amount of risk that can be diversified away by holding Integral Ad Science and ZW Data Action in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ZW Data Action and Integral 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 Integral Ad Science are associated (or correlated) with ZW Data. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ZW Data Action has no effect on the direction of Integral i.e., Integral and ZW Data go up and down completely randomly.

Pair Corralation between Integral and ZW Data

Considering the 90-day investment horizon Integral Ad Science is expected to generate 0.26 times more return on investment than ZW Data. However, Integral Ad Science is 3.81 times less risky than ZW Data. It trades about 0.21 of its potential returns per unit of risk. ZW Data Action is currently generating about 0.05 per unit of risk. If you would invest  644.00  in Integral Ad Science on April 22, 2025 and sell it today you would earn a total of  183.00  from holding Integral Ad Science or generate 28.42% return on investment over 90 days.

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

Integral Ad Science  vs.  ZW Data Action

Integral Ad Science

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Integral Ad Science are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively fragile basic indicators, Integral unveiled solid returns over the last few months and may actually be approaching a breakup point.

ZW Data Action

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in ZW Data Action are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain technical and fundamental indicators, ZW Data unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Integral and ZW Data

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

The idea behind Integral Ad Science and ZW Data Action 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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.