Correlation Between Icon Information and Target 2010

Can any of the company-specific risk be diversified away by investing in both Icon Information and Target 2010 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 Icon Information and Target 2010 into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Icon Information Technology and Target 2010 Series, you can compare the effects of market volatilities on Icon Information and Target 2010 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 Icon Information with a short position of Target 2010. Check out your portfolio center. Please also check ongoing floating volatility patterns of Icon Information and Target 2010.

Diversification Opportunities for Icon Information and Target 2010

0.0

Correlation Coefficient

Icon Information  Target 2010

Pay attention - limited upside

The 3 months correlation between Icon and Target is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Icon Information Technology and Target 2010 Series in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Target 2010 Series and Icon Information 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 Icon Information Technology are associated (or correlated) with Target 2010. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Target 2010 Series has no effect on the direction of Icon Information i.e., Icon Information and Target 2010 go up and down completely randomly.

Pair Corralation between Icon Information and Target 2010

If you would invest  1,558  in Icon Information Technology on May 22, 2025 and sell it today you would earn a total of  117.00  from holding Icon Information Technology or generate 7.51% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Icon Information Technology  vs.  Target 2010 Series

Icon Information Tec

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Icon Information Technology are ranked lower than 10 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak technical and fundamental indicators, Icon Information may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Target 2010 Series

Risk-Adjusted Performance

Weakest

Over the last 90 days Target 2010 Series has generated negative risk-adjusted returns adding no value to fund investors. In spite of fairly strong forward indicators, Target 2010 is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Icon Information and Target 2010

The main advantage of trading using opposite Icon Information and Target 2010 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Icon Information position performs unexpectedly, Target 2010 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 Target 2010 will offset losses from the drop in Target 2010's long position.

The idea behind Icon Information Technology and Target 2010 Series 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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.