Correlation Between Intel and Innovator Growth

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

By analyzing existing cross correlation between Intel and Innovator Growth 100 Power, you can compare the effects of market volatilities on Intel and Innovator Growth 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 Intel with a short position of Innovator Growth. Check out your portfolio center. Please also check ongoing floating volatility patterns of Intel and Innovator Growth.

Diversification Opportunities for Intel and Innovator Growth

0.91

Correlation Coefficient

Intel  Innovator Growth

Almost no diversification

The 3 months correlation between Intel and Innovator is 0.91. Overlapping area represents the amount of risk that can be diversified away by holding Intel and Innovator Growth 100 Power in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Innovator Growth 100 and Intel 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 Intel are associated (or correlated) with Innovator Growth. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Innovator Growth 100 has no effect on the direction of Intel i.e., Intel and Innovator Growth go up and down completely randomly.

Pair Corralation between Intel and Innovator Growth

Given the investment horizon of 90 days Intel is expected to generate 10.21 times more return on investment than Innovator Growth. However, Intel is 10.21 times more volatile than Innovator Growth 100 Power. It trades about 0.21 of its potential returns per unit of risk. Innovator Growth 100 Power is currently generating about 0.11 per unit of risk. If you would invest  2,222  in Intel on August 13, 2025 and sell it today you would earn a total of  1,566  from holding Intel or generate 70.48% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Strong
Accuracy	100.0%
Values	Daily Returns

Intel  vs.  Innovator Growth 100 Power

Intel

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Intel are ranked lower than 17 (%) of all global equities and portfolios over the last 90 days. In spite of rather unfluctuating basic indicators, Intel exhibited solid returns over the last few months and may actually be approaching a breakup point.

Innovator Growth 100

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Innovator Growth 100 Power are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, Innovator Growth is not utilizing all of its potentials. The recent stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with Intel and Innovator Growth

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

The idea behind Intel and Innovator Growth 100 Power 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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .