Correlation Between COREBRIDGE FINANCIAL and National Retail

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

By analyzing existing cross correlation between COREBRIDGE FINANCIAL INC and National Retail Properties, you can compare the effects of market volatilities on COREBRIDGE FINANCIAL and National Retail 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 COREBRIDGE FINANCIAL with a short position of National Retail. Check out your portfolio center. Please also check ongoing floating volatility patterns of COREBRIDGE FINANCIAL and National Retail.

Diversification Opportunities for COREBRIDGE FINANCIAL and National Retail

0.61

Correlation Coefficient

COREBRIDGE FINANCIAL  National Retail

Poor diversification

The 3 months correlation between COREBRIDGE and National is 0.61. Overlapping area represents the amount of risk that can be diversified away by holding COREBRIDGE FINANCIAL INC and National Retail Properties in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on National Retail Prop and COREBRIDGE FINANCIAL 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 COREBRIDGE FINANCIAL INC are associated (or correlated) with National Retail. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of National Retail Prop has no effect on the direction of COREBRIDGE FINANCIAL i.e., COREBRIDGE FINANCIAL and National Retail go up and down completely randomly.

Pair Corralation between COREBRIDGE FINANCIAL and National Retail

Assuming the 90 days horizon COREBRIDGE FINANCIAL INC is expected to generate 1.71 times more return on investment than National Retail. However, COREBRIDGE FINANCIAL is 1.71 times more volatile than National Retail Properties. It trades about 0.23 of its potential returns per unit of risk. National Retail Properties is currently generating about 0.05 per unit of risk. If you would invest  2,313  in COREBRIDGE FINANCIAL INC on April 20, 2025 and sell it today you would earn a total of  667.00  from holding COREBRIDGE FINANCIAL INC or generate 28.84% return on investment over 90 days.

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

COREBRIDGE FINANCIAL INC  vs.  National Retail Properties

COREBRIDGE FINANCIAL INC

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in COREBRIDGE FINANCIAL INC are ranked lower than 17 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, COREBRIDGE FINANCIAL reported solid returns over the last few months and may actually be approaching a breakup point.

National Retail Prop

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in National Retail Properties are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively stable basic indicators, National Retail is not utilizing all of its potentials. The latest stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with COREBRIDGE FINANCIAL and National Retail

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

The idea behind COREBRIDGE FINANCIAL INC and National Retail Properties 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.

Check out your portfolio center.

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 Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.