Correlation Between Tortoise Capital and USCF Midstream

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

By analyzing existing cross correlation between Tortoise Capital Series and USCF Midstream Energy, you can compare the effects of market volatilities on Tortoise Capital and USCF Midstream 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 Tortoise Capital with a short position of USCF Midstream. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tortoise Capital and USCF Midstream.

Diversification Opportunities for Tortoise Capital and USCF Midstream

0.44

Correlation Coefficient

Tortoise Capital  USCF Midstream

Very weak diversification

The 3 months correlation between Tortoise and USCF is 0.44. Overlapping area represents the amount of risk that can be diversified away by holding Tortoise Capital Series and USCF Midstream Energy in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on USCF Midstream Energy and Tortoise Capital 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 Tortoise Capital Series are associated (or correlated) with USCF Midstream. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of USCF Midstream Energy has no effect on the direction of Tortoise Capital i.e., Tortoise Capital and USCF Midstream go up and down completely randomly.

Pair Corralation between Tortoise Capital and USCF Midstream

Given the investment horizon of 90 days Tortoise Capital Series is expected to generate 0.91 times more return on investment than USCF Midstream. However, Tortoise Capital Series is 1.1 times less risky than USCF Midstream. It trades about 0.05 of its potential returns per unit of risk. USCF Midstream Energy is currently generating about 0.03 per unit of risk. If you would invest  3,484  in Tortoise Capital Series on May 28, 2025 and sell it today you would earn a total of  82.00  from holding Tortoise Capital Series or generate 2.35% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	98.41%
Values	Daily Returns

Tortoise Capital Series  vs.  USCF Midstream Energy

Tortoise Capital Series

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Tortoise Capital Series are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Even with relatively invariable basic indicators, Tortoise Capital is not utilizing all of its potentials. The latest stock price agitation, may contribute to short-term losses for the retail investors.

USCF Midstream Energy

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in USCF Midstream Energy are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite fairly strong primary indicators, USCF Midstream is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with Tortoise Capital and USCF Midstream

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

The idea behind Tortoise Capital Series and USCF Midstream Energy 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 Money Managers module to screen money managers from public funds and ETFs managed around the world.