Correlation Between Intel and RAADR

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

By analyzing existing cross correlation between Intel and RAADR Inc, you can compare the effects of market volatilities on Intel and RAADR 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 RAADR. Check out your portfolio center. Please also check ongoing floating volatility patterns of Intel and RAADR.

Diversification Opportunities for Intel and RAADR

-0.62

Correlation Coefficient

Intel  RAADR

Excellent diversification

The 3 months correlation between Intel and RAADR is -0.62. Overlapping area represents the amount of risk that can be diversified away by holding Intel and RAADR Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on RAADR Inc 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 RAADR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of RAADR Inc has no effect on the direction of Intel i.e., Intel and RAADR go up and down completely randomly.

Pair Corralation between Intel and RAADR

Given the investment horizon of 90 days Intel is expected to under-perform the RAADR. But the stock apears to be less risky and, when comparing its historical volatility, Intel is 3.74 times less risky than RAADR. The stock trades about -0.01 of its potential returns per unit of risk. The RAADR Inc is currently generating about 0.14 of returns per unit of risk over similar time horizon. If you would invest  0.09  in RAADR Inc on May 3, 2025 and sell it today you would earn a total of  0.07  from holding RAADR Inc or generate 77.78% return on investment over 90 days.

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

Intel  vs.  RAADR Inc

Intel

Risk-Adjusted Performance

Very Weak

Over the last 90 days Intel has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound basic indicators, Intel is not utilizing all of its potentials. The latest stock price tumult, may contribute to shorter-term losses for the shareholders.

RAADR Inc

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in RAADR Inc are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. Even with relatively inconsistent basic indicators, RAADR reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Intel and RAADR

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

The idea behind Intel and RAADR Inc 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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.