Correlation Between Wi2Wi and TonnerOne World

Can any of the company-specific risk be diversified away by investing in both Wi2Wi and TonnerOne World 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 Wi2Wi and TonnerOne World into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Wi2Wi and TonnerOne World Holdings, you can compare the effects of market volatilities on Wi2Wi and TonnerOne World 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 Wi2Wi with a short position of TonnerOne World. Check out your portfolio center. Please also check ongoing floating volatility patterns of Wi2Wi and TonnerOne World.

Diversification Opportunities for Wi2Wi and TonnerOne World

-0.1

Correlation Coefficient

Wi2Wi  TonnerOne World

Good diversification

The 3 months correlation between Wi2Wi and TonnerOne is -0.1. Overlapping area represents the amount of risk that can be diversified away by holding Wi2Wi and TonnerOne World Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TonnerOne World Holdings and Wi2Wi 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 Wi2Wi are associated (or correlated) with TonnerOne World. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TonnerOne World Holdings has no effect on the direction of Wi2Wi i.e., Wi2Wi and TonnerOne World go up and down completely randomly.

Pair Corralation between Wi2Wi and TonnerOne World

Assuming the 90 days horizon Wi2Wi is expected to generate 3.41 times less return on investment than TonnerOne World. But when comparing it to its historical volatility, Wi2Wi is 1.82 times less risky than TonnerOne World. It trades about 0.07 of its potential returns per unit of risk. TonnerOne World Holdings is currently generating about 0.13 of returns per unit of risk over similar time horizon. If you would invest  0.02  in TonnerOne World Holdings on September 16, 2025 and sell it today you would lose (0.01) from holding TonnerOne World Holdings or give up 50.0% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.46%
Values	Daily Returns

Wi2Wi  vs.  TonnerOne World Holdings

Wi2Wi

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Wi2Wi are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, Wi2Wi reported solid returns over the last few months and may actually be approaching a breakup point.

TonnerOne World Holdings

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in TonnerOne World Holdings are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Even with relatively fragile basic indicators, TonnerOne World reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Wi2Wi and TonnerOne World

The main advantage of trading using opposite Wi2Wi and TonnerOne World positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Wi2Wi position performs unexpectedly, TonnerOne World 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 TonnerOne World will offset losses from the drop in TonnerOne World's long position.

The idea behind Wi2Wi and TonnerOne World Holdings 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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.