Correlation Between Princeton Capital and Immutable Holdings

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

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

Diversification Opportunities for Princeton Capital and Immutable Holdings

-0.5

Correlation Coefficient

Princeton Capital  Immutable Holdings

Very good diversification

The 3 months correlation between Princeton and Immutable is -0.5. Overlapping area represents the amount of risk that can be diversified away by holding Princeton Capital and Immutable Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Immutable Holdings and Princeton 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 Princeton Capital are associated (or correlated) with Immutable Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Immutable Holdings has no effect on the direction of Princeton Capital i.e., Princeton Capital and Immutable Holdings go up and down completely randomly.

Pair Corralation between Princeton Capital and Immutable Holdings

Given the investment horizon of 90 days Princeton Capital is expected to generate 0.34 times more return on investment than Immutable Holdings. However, Princeton Capital is 2.91 times less risky than Immutable Holdings. It trades about 0.16 of its potential returns per unit of risk. Immutable Holdings is currently generating about -0.06 per unit of risk. If you would invest  5.00  in Princeton Capital on August 26, 2025 and sell it today you would earn a total of  1.80  from holding Princeton Capital or generate 36.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Very Weak
Accuracy	98.46%
Values	Daily Returns

Princeton Capital  vs.  Immutable Holdings

Princeton Capital

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Princeton Capital are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of rather unfluctuating basic indicators, Princeton Capital exhibited solid returns over the last few months and may actually be approaching a breakup point.

Immutable Holdings

Risk-Adjusted Performance

Weakest

Over the last 90 days Immutable Holdings 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 fundamental indicators remain nearly stable which may send shares a bit higher in December 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Princeton Capital and Immutable Holdings

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

The idea behind Princeton Capital and Immutable Holdings 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.