Correlation Between Thrivent High and First BITCoin

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

By analyzing existing cross correlation between Thrivent High Yield and First BITCoin Capital, you can compare the effects of market volatilities on Thrivent High and First BITCoin 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 Thrivent High with a short position of First BITCoin. Check out your portfolio center. Please also check ongoing floating volatility patterns of Thrivent High and First BITCoin.

Diversification Opportunities for Thrivent High and First BITCoin

-0.55

Correlation Coefficient

Thrivent High  First BITCoin

Excellent diversification

The 3 months correlation between Thrivent and First is -0.55. Overlapping area represents the amount of risk that can be diversified away by holding Thrivent High Yield and First BITCoin Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on First BITCoin Capital and Thrivent High 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 Thrivent High Yield are associated (or correlated) with First BITCoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of First BITCoin Capital has no effect on the direction of Thrivent High i.e., Thrivent High and First BITCoin go up and down completely randomly.

Pair Corralation between Thrivent High and First BITCoin

Assuming the 90 days horizon Thrivent High Yield is expected to generate 0.02 times more return on investment than First BITCoin. However, Thrivent High Yield is 43.95 times less risky than First BITCoin. It trades about 0.3 of its potential returns per unit of risk. First BITCoin Capital is currently generating about -0.13 per unit of risk. If you would invest  410.00  in Thrivent High Yield on April 24, 2025 and sell it today you would earn a total of  17.00  from holding Thrivent High Yield or generate 4.15% return on investment over 90 days.

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

Thrivent High Yield  vs.  First BITCoin Capital

Thrivent High Yield

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Thrivent High Yield are ranked lower than 23 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong forward indicators, Thrivent High is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

First BITCoin Capital

Risk-Adjusted Performance

Very Weak

Over the last 90 days First BITCoin Capital has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unfluctuating performance in the last few months, the Stock's fundamental indicators remain nearly stable which may send shares a bit higher in August 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Thrivent High and First BITCoin

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

The idea behind Thrivent High Yield and First BITCoin Capital 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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.