Correlation Between Lifevantage and Contextlogic Inc

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

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

Diversification Opportunities for Lifevantage and Contextlogic Inc

-0.65

Correlation Coefficient

Lifevantage  Contextlogic Inc

Excellent diversification

The 3 months correlation between Lifevantage and Contextlogic Inc is -0.65. Overlapping area represents the amount of risk that can be diversified away by holding Lifevantage and Contextlogic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Contextlogic Inc and Lifevantage 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 Lifevantage are associated (or correlated) with Contextlogic Inc. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Contextlogic Inc has no effect on the direction of Lifevantage i.e., Lifevantage and Contextlogic Inc go up and down completely randomly.

Pair Corralation between Lifevantage and Contextlogic Inc

Given the investment horizon of 90 days Lifevantage is expected to under-perform the Contextlogic Inc. In addition to that, Lifevantage is 1.85 times more volatile than Contextlogic. It trades about -0.12 of its total potential returns per unit of risk. Contextlogic is currently generating about 0.05 per unit of volatility. If you would invest  727.00  in Contextlogic on July 10, 2025 and sell it today you would earn a total of  33.00  from holding Contextlogic or generate 4.54% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Weak
Accuracy	98.44%
Values	Daily Returns

Lifevantage  vs.  Contextlogic

Lifevantage

Risk-Adjusted Performance

Weakest

Over the last 90 days Lifevantage has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain very healthy which may send shares a bit higher in November 2025. The recent disarray may also be a sign of long period up-swing for the firm investors.

Contextlogic Inc

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Contextlogic are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of rather sound technical and fundamental indicators, Contextlogic Inc is not utilizing all of its potentials. The latest stock price tumult, may contribute to shorter-term losses for the shareholders.

Pair Trading with Lifevantage and Contextlogic Inc

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

The idea behind Lifevantage 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.

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 Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.