Correlation Between Credit Suisse and Public Storage

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

By analyzing existing cross correlation between Credit Suisse X Links and Public Storage, you can compare the effects of market volatilities on Credit Suisse and Public Storage 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 Credit Suisse with a short position of Public Storage. Check out your portfolio center. Please also check ongoing floating volatility patterns of Credit Suisse and Public Storage.

Diversification Opportunities for Credit Suisse and Public Storage

0.53

Correlation Coefficient

Credit Suisse  Public Storage

Very weak diversification

The 3 months correlation between Credit and Public is 0.53. Overlapping area represents the amount of risk that can be diversified away by holding Credit Suisse X Links and Public Storage in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Public Storage and Credit Suisse 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 Credit Suisse X Links are associated (or correlated) with Public Storage. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Public Storage has no effect on the direction of Credit Suisse i.e., Credit Suisse and Public Storage go up and down completely randomly.

Pair Corralation between Credit Suisse and Public Storage

Given the investment horizon of 90 days Credit Suisse X Links is expected to generate 1.44 times more return on investment than Public Storage. However, Credit Suisse is 1.44 times more volatile than Public Storage. It trades about 0.2 of its potential returns per unit of risk. Public Storage is currently generating about 0.09 per unit of risk. If you would invest  4,793  in Credit Suisse X Links on May 6, 2025 and sell it today you would earn a total of  577.00  from holding Credit Suisse X Links or generate 12.04% return on investment over 90 days.

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

Credit Suisse X Links  vs.  Public Storage

Credit Suisse X

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Credit Suisse X Links are ranked lower than 15 (%) of all global equities and portfolios over the last 90 days. Despite fairly unfluctuating basic indicators, Credit Suisse may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Public Storage

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Public Storage are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, Public Storage is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Pair Trading with Credit Suisse and Public Storage

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

The idea behind Credit Suisse X Links and Public Storage 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 Bonds Directory module to find actively traded corporate debentures issued by US companies.