Correlation Between PHOENIX N and Feintool International

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

By analyzing existing cross correlation between PHOENIX N AG and Feintool International Holding, you can compare the effects of market volatilities on PHOENIX N and Feintool International 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 PHOENIX N with a short position of Feintool International. Check out your portfolio center. Please also check ongoing floating volatility patterns of PHOENIX N and Feintool International.

Diversification Opportunities for PHOENIX N and Feintool International

-0.14

Correlation Coefficient

PHOENIX N  Feintool International

Good diversification

The 3 months correlation between PHOENIX and Feintool is -0.14. Overlapping area represents the amount of risk that can be diversified away by holding PHOENIX N AG and Feintool International Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Feintool International and PHOENIX N 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 PHOENIX N AG are associated (or correlated) with Feintool International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Feintool International has no effect on the direction of PHOENIX N i.e., PHOENIX N and Feintool International go up and down completely randomly.

Pair Corralation between PHOENIX N and Feintool International

Assuming the 90 days trading horizon PHOENIX N AG is expected to generate 0.94 times more return on investment than Feintool International. However, PHOENIX N AG is 1.06 times less risky than Feintool International. It trades about 0.03 of its potential returns per unit of risk. Feintool International Holding is currently generating about -0.1 per unit of risk. If you would invest  42,200  in PHOENIX N AG on August 28, 2025 and sell it today you would earn a total of  1,200  from holding PHOENIX N AG or generate 2.84% return on investment over 90 days.

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

PHOENIX N AG  vs.  Feintool International Holding

PHOENIX N AG

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in PHOENIX N AG are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of fairly stable basic indicators, PHOENIX N is not utilizing all of its potentials. The latest stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Feintool International

Risk-Adjusted Performance

Weakest

Over the last 90 days Feintool International Holding has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest abnormal performance, the Stock's basic indicators remain stable and the latest fuss on Wall Street may also be a sign of long-term gains for the venture sophisticated investors.

Pair Trading with PHOENIX N and Feintool International

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

The idea behind PHOENIX N AG and Feintool International Holding 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 Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.