Correlation Between Universal Technical and BitFuFu

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

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

Diversification Opportunities for Universal Technical and BitFuFu

-0.36

Correlation Coefficient

Universal Technical  BitFuFu

Very good diversification

The 3 months correlation between Universal and BitFuFu is -0.36. Overlapping area represents the amount of risk that can be diversified away by holding Universal Technical Institute and BitFuFu Class A in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BitFuFu Class A and Universal Technical 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 Universal Technical Institute are associated (or correlated) with BitFuFu. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BitFuFu Class A has no effect on the direction of Universal Technical i.e., Universal Technical and BitFuFu go up and down completely randomly.

Pair Corralation between Universal Technical and BitFuFu

Considering the 90-day investment horizon Universal Technical Institute is expected to under-perform the BitFuFu. But the stock apears to be less risky and, when comparing its historical volatility, Universal Technical Institute is 1.23 times less risky than BitFuFu. The stock trades about -0.12 of its potential returns per unit of risk. The BitFuFu Class A is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest  367.00  in BitFuFu Class A on May 15, 2025 and sell it today you would earn a total of  24.00  from holding BitFuFu Class A or generate 6.54% return on investment over 90 days.

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

Universal Technical Institute  vs.  BitFuFu Class A

Universal Technical

Risk-Adjusted Performance

Weakest

Over the last 90 days Universal Technical Institute has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unsteady performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in September 2025. The recent confusion may also be a sign of long-lasting up-swing for the firm traders.

BitFuFu Class A

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in BitFuFu Class A are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak technical and fundamental indicators, BitFuFu may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with Universal Technical and BitFuFu

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

The idea behind Universal Technical Institute and BitFuFu 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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.