Correlation Between Jeffs Brands and Contextlogic

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

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

Diversification Opportunities for Jeffs Brands and Contextlogic

-0.46

Correlation Coefficient

Jeffs Brands  Contextlogic

Very good diversification

The 3 months correlation between Jeffs and Contextlogic is -0.46. Overlapping area represents the amount of risk that can be diversified away by holding Jeffs Brands and Contextlogic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Contextlogic and Jeffs Brands 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 Jeffs Brands are associated (or correlated) with Contextlogic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Contextlogic has no effect on the direction of Jeffs Brands i.e., Jeffs Brands and Contextlogic go up and down completely randomly.

Pair Corralation between Jeffs Brands and Contextlogic

Given the investment horizon of 90 days Jeffs Brands is expected to under-perform the Contextlogic. In addition to that, Jeffs Brands is 3.84 times more volatile than Contextlogic. It trades about -0.01 of its total potential returns per unit of risk. Contextlogic is currently generating about 0.03 per unit of volatility. If you would invest  729.00  in Contextlogic on April 25, 2025 and sell it today you would earn a total of  10.00  from holding Contextlogic or generate 1.37% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Very Weak
Accuracy	65.57%
Values	Daily Returns

Jeffs Brands  vs.  Contextlogic

Jeffs Brands

Risk-Adjusted Performance

Very Weak

Over the last 90 days Jeffs Brands has generated negative risk-adjusted returns adding no value to investors with long positions. Even with latest fragile performance, the Stock's fundamental drivers remain invariable and the latest agitation on Wall Street may also be a sign of long-running gains for the enterprise retail investors.

Contextlogic

Risk-Adjusted Performance

Weak

Over the last 90 days Contextlogic has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather unsteady technical and fundamental indicators, Contextlogic may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Pair Trading with Jeffs Brands and Contextlogic

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

The idea behind Jeffs Brands and Contextlogic 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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.