Correlation Between P10 and CaliberCos

Can any of the company-specific risk be diversified away by investing in both P10 and CaliberCos 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 P10 and CaliberCos into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between P10 Inc and CaliberCos Class A, you can compare the effects of market volatilities on P10 and CaliberCos 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 P10 with a short position of CaliberCos. Check out your portfolio center. Please also check ongoing floating volatility patterns of P10 and CaliberCos.

Diversification Opportunities for P10 and CaliberCos

-0.1

Correlation Coefficient

P10  CaliberCos

Good diversification

The 3 months correlation between P10 and CaliberCos is -0.1. Overlapping area represents the amount of risk that can be diversified away by holding P10 Inc and CaliberCos Class A in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CaliberCos Class A and P10 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 P10 Inc are associated (or correlated) with CaliberCos. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CaliberCos Class A has no effect on the direction of P10 i.e., P10 and CaliberCos go up and down completely randomly.

Pair Corralation between P10 and CaliberCos

Allowing for the 90-day total investment horizon P10 is expected to generate 38.65 times less return on investment than CaliberCos. But when comparing it to its historical volatility, P10 Inc is 24.88 times less risky than CaliberCos. It trades about 0.07 of its potential returns per unit of risk. CaliberCos Class A is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest  350.00  in CaliberCos Class A on July 1, 2025 and sell it today you would earn a total of  181.00  from holding CaliberCos Class A or generate 51.71% return on investment over 90 days.

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

P10 Inc  vs.  CaliberCos Class A

P10 Inc

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in P10 Inc are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. In spite of fairly inconsistent basic indicators, P10 may actually be approaching a critical reversion point that can send shares even higher in October 2025.

CaliberCos Class A

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in CaliberCos Class A are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. In spite of rather abnormal basic indicators, CaliberCos exhibited solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with P10 and CaliberCos

The main advantage of trading using opposite P10 and CaliberCos positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if P10 position performs unexpectedly, CaliberCos 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 CaliberCos will offset losses from the drop in CaliberCos' long position.

The idea behind P10 Inc and CaliberCos Class A 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 Anywhere module to track or share privately all of your investments from the convenience of any device.