Correlation Between Intel and My529 Growth

Can any of the company-specific risk be diversified away by investing in both Intel and My529 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 My529 Growth into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Intel and My529 Growth Index, you can compare the effects of market volatilities on Intel and My529 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 My529 Growth. Check out your portfolio center. Please also check ongoing floating volatility patterns of Intel and My529 Growth.

Diversification Opportunities for Intel and My529 Growth

0.54

Correlation Coefficient

Intel  My529 Growth

Very weak diversification

The 3 months correlation between Intel and My529 is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding Intel and My529 Growth Index in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on My529 Growth Index 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 My529 Growth. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of My529 Growth Index has no effect on the direction of Intel i.e., Intel and My529 Growth go up and down completely randomly.

Pair Corralation between Intel and My529 Growth

Given the investment horizon of 90 days Intel is expected to under-perform the My529 Growth. In addition to that, Intel is 2.85 times more volatile than My529 Growth Index. It trades about -0.02 of its total potential returns per unit of risk. My529 Growth Index is currently generating about 0.26 per unit of volatility. If you would invest  1,351  in My529 Growth Index on May 3, 2025 and sell it today you would earn a total of  228.00  from holding My529 Growth Index or generate 16.88% return on investment over 90 days.

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

Intel  vs.  My529 Growth Index

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.

My529 Growth Index

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in My529 Growth Index are ranked lower than 20 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak technical and fundamental indicators, My529 Growth showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Intel and My529 Growth

The main advantage of trading using opposite Intel and My529 Growth positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Intel position performs unexpectedly, My529 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 My529 Growth will offset losses from the drop in My529 Growth's long position.

The idea behind Intel and My529 Growth Index 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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.