Correlation Between Thrivent High and Innoviz Technologies

Can any of the company-specific risk be diversified away by investing in both Thrivent High and Innoviz Technologies 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 Innoviz Technologies 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 Innoviz Technologies, you can compare the effects of market volatilities on Thrivent High and Innoviz Technologies 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 Innoviz Technologies. Check out your portfolio center. Please also check ongoing floating volatility patterns of Thrivent High and Innoviz Technologies.

Diversification Opportunities for Thrivent High and Innoviz Technologies

0.33

Correlation Coefficient

Thrivent High  Innoviz Technologies

Weak diversification

The 3 months correlation between Thrivent and Innoviz is 0.33. Overlapping area represents the amount of risk that can be diversified away by holding Thrivent High Yield and Innoviz Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Innoviz Technologies 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 Innoviz Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Innoviz Technologies has no effect on the direction of Thrivent High i.e., Thrivent High and Innoviz Technologies go up and down completely randomly.

Pair Corralation between Thrivent High and Innoviz Technologies

Assuming the 90 days horizon Thrivent High is expected to generate 29.68 times less return on investment than Innoviz Technologies. But when comparing it to its historical volatility, Thrivent High Yield is 70.45 times less risky than Innoviz Technologies. It trades about 0.21 of its potential returns per unit of risk. Innoviz Technologies is currently generating about 0.09 of returns per unit of risk over similar time horizon. If you would invest  7.01  in Innoviz Technologies on May 5, 2025 and sell it today you would earn a total of  1.54  from holding Innoviz Technologies or generate 21.97% return on investment over 90 days.

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

Thrivent High Yield  vs.  Innoviz Technologies

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 16 (%) 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.

Innoviz Technologies

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Innoviz Technologies are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of fairly abnormal basic indicators, Innoviz Technologies showed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Thrivent High and Innoviz Technologies

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

The idea behind Thrivent High Yield and Innoviz Technologies 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.