Correlation Between Safe Bulkers and VNET Group

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

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

Diversification Opportunities for Safe Bulkers and VNET Group

-0.32

Correlation Coefficient

Safe Bulkers  VNET Group

Very good diversification

The 3 months correlation between Safe and VNET is -0.32. Overlapping area represents the amount of risk that can be diversified away by holding Safe Bulkers and VNET Group DRC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on VNET Group DRC and Safe Bulkers 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 Safe Bulkers are associated (or correlated) with VNET Group. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of VNET Group DRC has no effect on the direction of Safe Bulkers i.e., Safe Bulkers and VNET Group go up and down completely randomly.

Pair Corralation between Safe Bulkers and VNET Group

Allowing for the 90-day total investment horizon Safe Bulkers is expected to generate 0.47 times more return on investment than VNET Group. However, Safe Bulkers is 2.14 times less risky than VNET Group. It trades about 0.07 of its potential returns per unit of risk. VNET Group DRC is currently generating about -0.03 per unit of risk. If you would invest  444.00  in Safe Bulkers on September 20, 2025 and sell it today you would earn a total of  36.00  from holding Safe Bulkers or generate 8.11% return on investment over 90 days.

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

Safe Bulkers  vs.  VNET Group DRC

Safe Bulkers

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Safe Bulkers are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite somewhat unsteady fundamental drivers, Safe Bulkers may actually be approaching a critical reversion point that can send shares even higher in January 2026.

VNET Group DRC

Risk-Adjusted Performance

Weakest

Over the last 90 days VNET Group DRC has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest inconsistent performance, the Stock's technical and fundamental indicators remain stable and the newest uproar on Wall Street may also be a sign of mid-term gains for the firm private investors.

Pair Trading with Safe Bulkers and VNET Group

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

The idea behind Safe Bulkers and VNET Group DRC 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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.